WAX Update December 24 2017
Thank you again for your contributions to WAX. We especially appreciate you, our community; many of whom are the most well known and successful token buyers in the world. Your ongoing support to WAX, the platform and token that will revolutionize the digital items trading industry, is deeply important for our project.
As mentioned often throughout the Token Generation Event, tokens are set to be distributed “no later than 30 days after the end of the Main Sale date,” which is December 29th. We started the token distribution process a week and a half early and, unfortunately, several unforeseen issues have occurred. Given the committed December 29th deadline, while distribution is taking longer than expected, it is not delayed.
Here’s a summary of the existing issues:
- Some contributors had problems submitting their identity verification, some have submitted documents but not been approved and some have had technical issues with the mobile app. We understand this has been difficult for many of you, and for that we are truly sorry. We have been working closely with the vendor and we have proposed solutions to them to get these problems resolved. Those of you who have attempted to complete the identity verification process and have supplied acceptable pictures will be matched up with the documents you have already submitted. For the majority of remaining WAX token buyers not verified, this will complete the your identity verification process. WAX personnel will contact all others directly.
- Token distribution was having technical issues of its own. At first, it was due to ETH network delays beyond our control. Then during a review of the distribution process, our accounting department discovered a data error which led to additional verification, involving three rounds of testing.
- In the interest of fairness, tokens are being distributed based on when a contributor’s identity verification is completed. The majority of contributors for whom identity verification has been completed have already received their tokens. Another group of identity-verified token buyers are in the process of being distributed. We continue to broadcast token distributions on the ETH blockchain daily.
- There are 1,850,000,000 WAX tokens in existence. Our community has informed us that some people incorrectly believed that the WAX token supply is 185,000,000. We understand where this confusion comes from. On December 18th, 2017, prior to any token distribution, WAX posted publicly on our blog and social media channels that we were distributing 10x the tokens (from 185,000,000 to 1,850,000,000). This 10 to 1 split was intended to make micro transactions easier.
- Increased confusion over the WAX token supply was due to the existence of a fake WAX Ethereum smart contract. On November 14, 2017, a scammer published a fake WAX Ethereum smart contract. WAX discovered this within hours and immediately reported the fake WAX Ethereum smart contract to etherscan.io.
FAKE SCAMMER ADDRESS: 0x8e1701e9509250d808…eeca648feb1b8d7eed0704.
- The real WAX Ethereum smart contract was published Dec 19, 2017 after the token sale ended (REAL CONTRACT ADDRESS: 0x39Bb259F66E1C59d5ABEF88375979b4D20D98022).
The WAX token supply information listed on Huobi Pro was from an outdated version of the white paper or the fake WAX Ethereum smart contract. As you can see above, the real WAX contract shows a token supply of 1,850,000,000 WAX, the same as with our post on December 18th. When WAX discovered this error, around 2pm HKT December 20, 2017, we immediately informed Huobi Pro of the problem and they subsequently corrected it a few hours later.
WAX takes its brand integrity seriously. When consumers purchase WAX tokens, they must know that they are receiving the genuine WAX product and have access to the correct token product information. That did not happen in this situation.
We greatly value our WAX community and we are deeply sorry that this incident may have caused anyone distress. While WAX was not responsible for the creation of the fake WAX Ethereum smart contract, and we promptly acted to have it removed when we learned of its existence, we want our community to know we care about the losses some experienced. We recognize the damage counterfeit products can have on consumer confidence and trust in our emerging industry.
WAX has decided to turn this unfortunate incident into something positive.
First, as a gesture of our concern for WAX contributors, we will provide a free airdrop of WAX Tokens to those who purchased WAX Tokens on the Huobi Pro exchange during the period December 20th, 2017 to December 21st, 2017. We are establishing a WAX Community Trust reserve of 1,000,000 WAX Tokens to fund this effort. We can’t promise all of our contributors that we can make them whole, but we hope to show by this action that WAX stands behind its product and brand. Details of how WAX contributors can be considered for participation in the WAX Community Trust WAX Token airdrop will be published in January 2018.
Second, this incident has demonstrated to all of us how problematic the spread of counterfeit token sites has become. WAX wants to help solve this growing industry problem. To that end, WAX will be investing $100,000 in a new program called Stamp Out Counterfeit Token Sites (SOCTS, or “sockets”). Funds will be used to create an awareness campaign educating on the existence of these counterfeit tokens sites and the steps our industry can take to ensure they don’t continue to spread confusion.
We remain enthusiastic about the opportunity to work with our community to grow the WAX Platform. We appreciate the community’s help and feedback.
Thank you for being a WAX supporter!