The Catizen ($CATI) crypto project, once hailed for its innovative approach and promised community rewards, is now facing a huge criticism from its community. Many people claimed that the project team mishandled its airdrop allocation, leaving early supporters and token hunters feeling cheated.
Token allocation
In the initial phase of project launch, Catizen promised that 43% of the total token supply would be airdropped to the community but they failed to clarify in their early phase that it was the division of these tokens into two separate seasons (S1 and S2). This lack of upfront transparency, which was not mentioned in the project’s whitepaper, left many feeling misled. Instead, they allocated only 15% of the total supply in the first season, which is significantly less than expected.
Prioritising own interests over community
Another outrage was seen among the Catigen airdrop token hunters about the Catizen team’s decision to allocate 9% of the token supply to Binance Launchpool.
In the past, the majority of the projects on Binance Launchpool allocated only around 3-4% to the pool, but the Catizen team diluted 9%, drawing this additional percentage from the community’s airdrop supply rather than the team’s allocation.
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Overspend of token
The project raised $2.8 million by diluting 10% of the supply during seed and strategic rounds, resulting in a valuation of just $28 million. This has led to concerns about the long-term sustainability of the project.
Random unfair token allocation for investors
One frustrated Catizen community member pointed out the disparity between different membership levels, highlighting how the allocation process was skewed. For example, Master-level members who did not spend much received only 30-40 tokens, while Gold members with just a $10 investment received 40-60 tokens.
Read also: WazirX hacker’s trace found on Binance crypto exchange, will Binance assist in catching the hacker?
https://bitcoinik.com/catizen-cati-faces-massive-backlash-over-airdrop-allocation-missteps-accusations-of-unfair-token-distribution-emerge/feed/
https://bitcoinik.com/catizen-cati-faces-massive-backlash-over-airdrop-allocation-missteps-accusations-of-unfair-token-distribution-emerge/feed/
