Yazin Alirhayim, the CEO of reputation startup Verify, has publicly called out the KuCoin exchange for a long succession of problems his company had while trying to get its CRED token listed. He also claims that the exchange offered him 0.5 BTC if he did not publicise these issues.
Verify, and its CRED token, aim to create a reputation protocol which “tracks the transaction history of participants (buyers, sellers)” then “unlocks benefits for those with good reputation”. As far as KuCoin’s reputation goes, Alirhayim is doing his best warn other ICOs over the exchange’s behaviour, spelling out that “if you’re thinking of listing there: don’t.”
Verify first applied to KuCoin at the end of November 2017, the week before its tokensale was scheduled to begin. According to Alirhayim, they had little idea of the “web of broken promises” that would fill the following 4 months. A web “so thick that you’d need a chainsaw to break out of [it]”.
After a month of silence, the exchange finally responded to Verify’s application by saying that for a token to be listed it would either have to win a community vote or the team would have to pay 5 BTC. Verify decided to go with the community vote, though after it was repeatedly delayed, went for the direct paid listing.
Weeks followed, with further delays and chasing, before Verify were able to pay the fees, at which point they assumed that the matter was settled.
Unfortunately, after two more weeks of silence, KuCoin then approached them to say that the rules had changed and the exchange now needed a minimum trading volume. Alirhayim says that these terms were changed, “after we’d completed payment and agreed on a listing date” and he wonders how “a self-respecting organization can change the terms of an agreement after we’ve already paid”.
Finally, when the listing date was once again pushed back, Verify told the exchange that “either we’re listed by March 5th, or we have no further interest in a KuCoin listing and we’re publicly sharing all the details about this experience”. In an update to his post he says that, “KuCoin offered us 0.5 BTC to “not publish” this post. It’s staying up”.
On Reddit the community has largely backed Verify’s stance and professed shock at such a “sad and depressing story”. However, as one frustrated investor in the Verify ICO said, there is still “nowhere good to trade Cred” as IDEX, the decentralized ETH token exchange where CRED is listed, “isn’t going to cut it” due to low trading volumes. Listing on a bigger exchange does not seem imminent, as, according to Verify, “KuCoin isn’t alone in being a horrid exchange with no respect for commitments made to their partners”.
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