Editors Note: This article comes fromHoneycomb Finance NEWSEditors Note: This article comes from
Honeycomb Finance NEWS
(ID: fengchao-caijing), author: Wu Xusheng, reproduced by Odaily with authorization.
On May 6, MovieBloc, the fourth project of Gate.io’s (hereinafter referred to as Gate) high-quality project initial channel Startup, officially opened for trading. The opening price rose 1.76 times from the initial price, and then began to fall after reaching 0.002114 USDT, with a drop of 44% on the day.
Like the three projects CNNS, DREP, and FACTS previously launched by Startup, MovieBloc has not escaped the fate of driving high and low.
On the road of IEO, Gate enters the field with a catching up posture. Since April 22, Gate has launched 4 new projects within half a month. With the same number of projects, Binance, which was the first to detonate this model, took more than 3 months
Gate has always created an exchange image that does not follow suit, does not trade volume, and does not fake. When the platform coins entered the market together, Gate was not issued.
Entering 2019, the exchange, formerly known as Bitcoin, has changed its status as a Buddhist and launched perpetual contract products, launched a public chain that has been researched for two years, and issued GT.
GoWithMi, the fifth project to launch Startup, will be delayed by 10 days. Gates official announcement stated, Seeking a more optimized opening method to reduce investor losses.
The anxious Gate had to slow down.
Four IEO projects launched in half a month
At around 2:40 pm on May 7, the price trend of CNNS drew a vertical K line again within three minutes. Unlike the rising line at the opening, this time its down, down 45%, 21 million CNNS traded
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CNNS is the first project launched by Gate’s high-quality project currency channel Startup. On April 24, the project was opened for trading. It skyrocketed 10 times on the day it was launched and then gradually fell, with a drop of 45% compared to the high point of the day.
Since then, the market has been falling all the way. As of 6:00 pm on May 9, CNNS quoted a price of 0.00755 yuan, which was only 25% higher than the initial price. The rights defense incident against CNNS is still fermenting.
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Honeycomb Finance compiled according to public data
Since CNNS, Gate’s Startup launched DREP, FACTS, and MovieBloc successively within 10 days. Counting CNNS, Gate completed the IEO of the four new projects in half a month.
Compared with the top exchanges such as Binance, Huobi, and OKEx, Gate is almost a catch-up player in the IEO arena.
In January of this year, Binance Launchpad, which started the IEO wave, has launched BTT, Cerle, FET, and MATIC, which are also 4 projects, and it took 3 months.
In March, Huobi Prime was born. At present, there are only two new projects, TOP and NEW. It is speculated that its third project may be difficult to produce. On the other hand, OKExs Jumpstart platform is even more lonely, and only one project of Block Cloud has been launched.
IEO was originally a pool of muddy water, and the top exchanges were racking their brains to find compliance excuses for compliance issues. Later, new projects saw a 10-fold or 20-fold increase one by one. Compliance and non-compliance are no longer important to investors. With the pursuit of users, the exchange has earned enough handling fees, and the projects have gained traffic and exposure. Degrees, of course, and money.
Gate, who used to not follow the trend, couldnt help it. Before disclosing the first project CNNS, Gate has just released the public chain and launched the platform currency GT. Immediately afterwards, Startup relying on GT came.
The news of receiving CNNS outside the market spread in various coin speculation groups, creating a hot atmosphere for this project. After the opening of Gate, CNNS rose sharply and plummeted in a short period of time, which caused dissatisfaction among investors. The atmosphere of rights protection is also very hot, and even Gate has made a decision to compensate investors.
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Investors scold Gate customer service
For a while, criticisms against Gate intensified in all aspects. On May 6, an article angrily denouncing the platforms poor service and freezing user accounts was sent to Gates user group.
Gate explained that the user unfrozen his account immediately after contacting the platform, “The guarantee letter and pleading language work order mentioned in the article were not received by the background, and it was later found that the other party had closed the work order request. It is not ruled out that the other party submitted a screenshot of the work order. Finally, I chose to close it, and the screenshots aroused public opinion. Gate believes that this article was taken out of context, the user forged the record, insulted the platform and staff, and continued to attack in the chat room, and the platform had to freeze the account and give a warning
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GT Hastily Holds Hands with Startup
Negative reviews continued, and Gate decided to slow down. The fifth project, GoWithMi, which was originally scheduled to go live on May 8, was postponed to the 18th.
Gate announced that the postponement is to give users more time to investigate and understand the project, and to seek a more optimized opening method to reduce the loss of user mistakes. We are still discussing the details of the specific adjustments, and will announce them as soon as they are confirmed.
A member of the GoWithMi team told Honeycomb Finance that after in-depth communication between Gate and them, we all feel that when the market order is disordered, the launch will be postponed, which is a protection and repair for Gate platform users and project side users.
Cautiousness has always been the impression of Gate to the outside world. This platform has repeatedly conveyed their concept of no fraud, no fraud, and no follow the trend.
Last year, when Huobi, OK and other exchanges issued general credits one after another, Gate was one of the few exchanges that did not follow up the platform currency. Its CEO Han Lin once said in an interview with the media that the platform currency itself has nothing to do with the blockchain. The essence is a kind of points, and it is suspected of securities. Some platforms even encourage lock-ups to operate the market. We dont follow the trend, we only do what we think is appropriate at the right time.
This year, when IEO entered the currency circle as a platform currency, Gate suddenly reacted.
In April, Gate launched its own public chain, GateChain, and issued GT, claiming to focus on asset security and decentralized transactions.
Gate denies the statement that the pace of public chain development is accelerated this year. Gate experienced two major security incidents in 2014 and 2015, with a total loss of more than 10,000 BTC. To solve asset security, so we do it ourselves, and the current Gatechain technology is becoming more mature, so we chose to launch it.”
Han Lin once said in an interview with the media that GT is the original asset of Gatechain’s main network, supports Gatechain’s infrastructure, pays transaction fees, supports the operation of decentralized trading platforms, and holds GT to obtain stable PoS mining rewards.
According to the official announcement, at that time, GT pricing was provisionally set at 1 CNNS=0.01GT because GT had not yet opened for trading. According to the official announcement, if the price of GT in the secondary market is higher than 10% of the opening price, that is, 0.66 USDT one month after GT is open for trading, the higher part will be returned to investors.
GT, which appeared a year late, is now the same as HT, OKB, and BNB, and has become a means of payment for new projects on the platform.
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On April 21, GT opened the USDT trading pair. After the opening of GT, with the warm-up of Startups first project CNNS, it has been rising all the way. On April 24th, the day when CNNS started subscription, the price of GT currency rose to $1.208, and followed CNNS to go down all the way. At 3:00 pm on May 9, GT was temporarily quoted at US$0.6712, a drop of about 45% from the peak after the opening.
According to Gate’s official announcement, the three projects launched since then only support GT snap-up. On the IEO track, Gate is in a hurry.
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The price of becoming more aggressive
Compared with OK and Huobi, the two leading trading platforms that were born almost at the same time, the trading volume of Gate.io is far behind.
According to Feixiaohao, on May 9, Huobi and OKEx ranked first and third globally, with 24-hour trading volumes of 14.8 billion yuan and 7.8 billion yuan respectively. Gate.io ranks 14th overall, with a 24-hour trading volume of only 487 million yuan.
In the second half of last year, the entire currency trading market was frozen lifeless by the bear market, and only contract derivatives were still contributing to the trading volume of the exchanges that had this product. In the contract product market led by OKEx, there are many competitors such as Huobi and Bibox.
In early January of this year, Gate directly entered the competition of perpetual contract trading products and provided more than 20 tradable currencies. OKEx, which pioneered the perpetual contract market, has only opened contract transactions in nine currencies, including BTC, ETH, EOS, BCH, BSV, LTC, ETC, XRP, and TRX.
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Gate has opened more than 20 currencies for perpetual contract transactions
In terms of spot leveraged derivatives, Gate is more aggressive, and has configured leveraged transactions for some small currencies that have just launched. CNNS is also one of them, and it will be equipped with leveraged gameplay as soon as it goes online.
Gate explained that the purpose of opening leverage is to provide investors with more long-short operation methods to balance the market. However, adding leverage to such a currency with high volatility and depth to be improved will increase the risk.
When CNNS skyrocketed and plummeted, there was a saying that some investors were trading with leverage, which caused the market to fluctuate violently.
Financial management functions, spot leverage, and perpetual contracts. From a product perspective, Gate is benchmarking against leading exchanges such as OKEx and Huobi. However, how to change user habits and attract existing users to switch to Gate is a problem that cannot be underestimated. .
