Company raises $347K ICO, vanishes

An organization referred to as Confido raised a small ICO by promoting particular CFD designed to permit “protected and trustless cryptocurrency funds. In keeping with ICODrops they raised their objective of about $ 400,000 and shortly disappeared, taking the money with it. The positioning is presently a parked net server that factors to nothing.

The apprentice founder and former eBay worker, Joost van Doorn, posted a message to a Confido Reddit board claiming that “We are in a tight spot, as we are having legal trouble caused by a contract we signed. We signed the contract with assurance from our legal advisor that there was minimal risk and it would not be an issue. I can not and will not go into details, but he was wrong. It is a problem. “

In keeping with the Reddit coordinator for the ICO, the transfer “is completely out of character” for Joost.

“There is potential that the removal of everything was due to the legal situation that they are facing, which is possible as I got the feeling that the situation was dire. I do not agree with this course of action however, as it has left the entire community, and myself, in the dark, “he wrote .

The ICOs or token sales are pink sizzling proper now however I've spoken to a number of founders who’re coping with the identical authorized issues – albeit in far much less drastic methods – and who’re eschewing the method solely resulting from authorized, logistic, and safety points. Given the quantities of cryptocurrency concerned and the a number of transferring components together with authorized cowl, white paper manufacturing, and financial administration, it's a marvel extra token gross sales don’t flame out like this one.

As of right this moment there isn’t any method to contact the founding workforce. The tokens rose to a worth of about $ 1 earlier than crashing again to a penny.

“These were very good scammers,” stated Eli Lewitt, co-founder of TokenLot instructed Motherboard

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