THELOGICALINDIAN - Feeling HOT HOT or HOT
There’s annihilation worse than award a canteen of 25 year-old Macallan for $79.00 at the liquor store… alone to acquisition that although some muppet may accept got it absolutely amiss on the shelf, the checkout computer doesn’t lie.
But sticker shock isn’t aloof for ambitious whisky connoisseurs. In actuality it’s additionally an affair adverse cryptocurrency investors. This all-around industry grew faster than regulators could… well, regulate. And as companies about the apple rushed to actualize The Next Big Cryptocurrency, we concluded up with a lot of crossed-signals.
We can accredit to the abnormality as “ticker shock,” and it can be a cher aberration for projects and investors alike.
Freaky Friday
I came beyond the botheration myself while researching a XIN bread adviser aftermost Friday. Because I was focused on the XIN crypto, I didn’t initially bolt the clue that both Infinity Economics (XIN) and Mixin (XIN) were tracked on CoinMarketCap. It’s not article I anytime saw on a banal exchange.
Both projects accustomed the aforementioned XIN bill on their websites. And back I’m acclimated to seeing ancestor companies, foundations, and subsidiaries, I was fooled: Infinity Economics alike had the Twitter handle @XIN_Foundation. I forgot about Mixin and focused my XIN addition adviser on Infinity Economics and the Infinity Coin (XIN).
I completed a third of the adviser afore assuredly activity aback to attending at Mixin Messenger, bold it was congenital on the Infinity Economics platform. D’oh!
I had ashen my Friday afternoon researching the amiss project. Mixin is based in Japan; Infinity Economics is in Germany. They both body adaptable wallets, but they couldn’t be added altered in features, polish, progress, and about aggregate else.
It didn’t advice (me) that both projects were advice to English as a additional language.
I didn’t go aback to the XIN bread adviser until this morning, at which point I discussed it with the beat aggregation to acquisition out there are agnate issues with KEY (KEY) and SelfKey (KEY), forth with Holochain (HOT) and Hydro Protocol Token (HOT).
Some investors will accordingly acquirement one XIN, HOT, or KEY badge assured it to be the other. That could be construed as ambiguous marketing, which the SEC tends to frown on… with ample fines. And if you bethink back Eminem approved to alpha his own accouterment line, Shady Ltd, at the acme of his acclaim in 2003, you apperceive the highest-profile activity doesn’t necessarily win these affairs in court.
Tick…Tick…BOOM
The agenda gold blitz created bags of projects all over the world, and abounding chose to artlessly focus on the business rather than the paperwork. You’ve apparent in the account how alike massive, multi-billion-dollar projects like Ethereum and Coinbase are actuality bantam by regulation, years afterwards actuality accessible on the accessible bazaar – adjustment has been inconsistent, or non-existent, for abundant of cryptocurrency’s history. And some accept absitively to just… wait.
But absence adjustment meant that patents, trademarks, copyrights, and – yes, ticker symbols – were not consistently rigorously-researched. Typically businesses (often with big-ticket attorneys apery them) chase through government databases afore activity through a time-consuming action to annals assorted marks.
If you archetype a trademark/patent/copyright/etc, the government (and rights holder) will let you know. Very quickly, in some instances.
But affluence of crypto projects accept agnate ticker symbols, offerings, and appearance that can accomplish it difficult to apperceive absolutely what you’re buying.
The boilerplate being couldn’t acquaint you the aberration amid Bitcoin and cryptocurrency, abundant beneath acquaint you the aberration amid the 74 Bitcoin forks. The nuanced visions of Roger Ver, Craig Wright, and all the blow of our industry celebrities aren’t necessarily acclaimed to boilerplate audiences.
And forks aren’t the alone similarly-named projects that may butt investors. While NASDAQ and added accessible exchanges accept rules in abode to accumulate two projects from application the aforementioned ticker, this aforementioned branding didn’t initially administer to crypto.
I don’t apperceive abundant about the added pairs, but I’m alone affronted at how abundant Infinity Economics looks like Mixin, which acutely has the cleaner product.
Token shock is an accidental ancillary aftereffect of our market. It causes investors to advance in the amiss project, based on misinformation (intentional or not). And acclimation it may booty some effort. (Editor’s note: coincidentally, we appear a adventure today advertence that CMC intends to address this issue at an accessible DATA Alliance roundtable.)
Although trading twins are an aberration (unless you calculation the Winklevossians, or Winkletwins, or Winklevii – whatever they’re branding themselves as, these days), when it comes to trading ticker symbols, there can be alone one.
Crypto Briefing is a registered trademark, by the way. We did our paperwork. Just sayin’.
