Most cryptocurrency companies often have rough starts when they first hit the markets. Harsh criticism and negative comments get in the head of investors, driving them away. On the other hand, it is the company’s commitment to its original promise that keeps investors’ minds at ease. In Wallfair’s case, empty promises have been made over and over. Many milestones were changed, even investor funding rounds were completely removed from the timeline. We already published a previous article that detailed how the company turned its back on its investors since day 1. In this article, we’ll talk about additional changes that were made in the core structure of the company, including the new WFAIR token.
Recap: What is Wallfair Crypto?
Wallfair is a company that aims to enter the crypto prediction market. Their current main offering is a betting mobile app that is still in its development phase, a website that changes every now and then in its info, and a Telegram Group that keeps investors hyped up. In order to get further funding, they did an ICO back in Q2 2021 where they sold EVNT tokens for early investors (aka Family & Friends). The latter would have the chance to buy in early on the EVNT tokens at a price of EUR 0.02. Another round of sales would happen 2 months afterward at a price of EUR 0.05, and an IDO in Q3 2021 would happen at a price of EUR 0.08. There was a total supply of 400,000,000 EVNT tokens initially. How did everything fall apart?
In our previous article, we spoke about how the company decided to dilute the total supply all the way to 1,000,000,000 EVNT tokens. Not only that, but they even canceled the second round of investments. What stood out is the way the company responded to critics, by simply asking people who were disappointed to take their money back and leave.
Was it a good idea to get out of this company? Well, let’s see how things progressed after a couple of months.
Wallfair DITCHES EVNT token for their newly branded WFAIR token
In a sudden move, investors woke up to the news of a rebranding in the EVNT token that was highly hyped since the beginning of the project. Not only did they previously dilute the EVNT tokens, but today they announce that EVNT tokens are no more and were replaced with the WFAIR token. Did investors agree to those radical changes? Did they vote or even have a say in what the new token should be named? Not really, the news was announced on the company’s social media channels like Twitter, Telegram, and by email newsletter.
Will the WFAIR token have the same value as EVNT? Was it a 1:1 change? Will the WFAIR token value stay the same? Nothing from those questions was answered. People who sounded the alarm on this switch were shut down by ridiculing their opinions, saying that this was a simple rebranding for something that didn’t exist yet.
The main claim for this switch was that EVNT was more focused on events, and the WFAIR token is more focused on gaming.
The Company’s Roadmap Changed
When you have a solid project, its milestones tend to be spot on. On the other hand, missing a roadmap by a few days or weeks is not a problem. But canceling some roadmap milestones, pushing deadlines by months, and changing the facts is completely unprofessional. This is what happened with Wallfair’s roadmap.
The company completely removed the funding rounds from the roadmap (as if they never existed). The website that was set up for investors to sign in became non-existent. Also, the IDO that was promised in Q3 2021 became somewhere after Q4 2021. See, in the roadmap picture on their website, the DEX launch is simply somewhere after Q4 2021. Nothing is clear, and this is a big red flag.
On the Telegram group, the moderators confirmed a DEX launch within Q3-Q4 2021. We are currently entering Q4, and we remain on the lookout for what happens before 2022.
The Company’s team is Getting Smaller
When the core team of a startup starts to leave the company and jump ship, the becomes a red flag among investors. In Wallfair’s case, this is what has happened ever since the launch of the company. Instead of writing a statement or keeping investors in the loop, people had to find out about the team’s change through the official company website. One Telegram user noted the change on the Telegram group. Instead of explaining and coming clean, the company’s Operations and Legal guy (Alex Berstein) just said casually that “startups go through changes, happens often”.
While this is 100% true, company’s should always keep their investors in the loop in any important matter. Those things should not be taken lightly unless Wallfair doesn’t consider the people in the Telegram Group as “valued investors”. It is worth noting that those guys invested in the “Friends and Family” funding round. When people started to increase the heat on the team change, the company became defensive and emotional.
Wallfair changes its Country of Origin
When the company first started, they were very proud to mention that they are established in Germany. This not only was a fact but also a strong selling point to gain investor’s trust. In another move, investors were intrigued to find out that Wallfair was no longer a German company. Additionally, company employees tried to deny this fact when asked about it.
Apparently, the company switched from a GMBH to an LTD formation. It is now registered on a small island…right here.
Wanna know where and how small that is? Here you go.
Wallfair Ltd: 2 Victoria Street, St. Anne, Alderney, Channel Islands
Registering on a small island has nothing to do with unprofessionalism. There may be an incentive for doing so, and let’s give them the benefit of the doubt. Maybe this is the only way to operate a gambling and betting company in Europe, without the hassle of strict EU laws. The unprofessional behavior was doing things without being open about it. The term German Company suddenly vanished everywhere, and the company team even denied it. Why?
Conclusion
When we previously published our article that talked about the bait-and-switch tactic that hit all the early investors, we kinda hoped we were wrong. We wanted the company to prove us wrong and show us a more transparent approach to communicate with investors. Apparently, we were right in saying previously that trust was broken and there is no transparent communication. We still await further developments to see what happens next, and how new surprises pop up in the near future.
