Statement in regards to Bitmax delisting of DeepCloud AI
It’s quite disappointing to observe the actions taken by the BitMax team, including George Cao himself. The fact is we have had major issues with BitMax even during the public sale itself however were advised to continue making attempts to amend the relationship with Bitmax in fear of delisting. I believe it’s time that we communicate with our community and public our experience.
Initially, we were told this would be a partnership to do public listing with the support of Bitmax including support with marketing, assistance with listing on other exchanges, strategy and MM across other exchanges. During this time we were in talks with a few other major exchanges and were convinced by what was promised as the most supportive partnership. As we moved through the process, Shane Molidor (ex-FBG) from Bitmax made it mandatory that Bitmax’s own MM be used for the listing on the exchange. Although we were advised against it because of the conflict of interest we moved forward as we trusted the integrity of the Bitmax team.
Once the announcement was made, almost immediately promises fell through the cracks. Aside from a handful of WeChat posts right before the public sale, Bitmax marketing team had no clue what to do, we stepped in to do all marketing ourselves including AMA’s, promotions and other media (even though we paid $200k for marketing/ success fees)
Prior to the public sale, we were in discussions with strategic investors and looking at long term success really believed having them come on board would help bolster our project. Although the amount we raised was more than we planned, all of it went into the MM fund which we believed would only help. We should have communicated this better with our community initially and apologized for this. Regardless, Bitmax’s MM fund was the recipient of the majority of all funds raised from presale and public sale itself.
Following the public sale, Bitmax used it’s success fee of $200K along with another $100K from DeepCloud to do a buyback to appease the frustrated investors. We wanted to do whatever it takes to make this a success and were willing to do whatever it takes. Following this Bitmax’s entire team virtually disappeared from conversations. All the promises to work with us disappeared, no marketing assistance, no support with other exchanges and nothing in terms of strategy. As a matter of fact, I personally reached out to the entire team of Bitmax for weeks on end without any reply. Later George would come to say they have been very busy with other listings. I wanted nothing more than to work together to build the brand and grow our project.
As much as we had interested exchanges reaching out to us we did not have access to the funds. Every day we watched the sell pressure burn through the MM funds and as Bitmax locked them we had no ability to pay for other exchange listing fees. Once all the funds in the MM were gone the price plummeted and we haven’t been able to recover. They handed over the MM to us with nothing left. With no funds left, we had to find ways to rebuild our capability and again we had no support or advice from Bitmax. We had to use tokens reserved marketing just to raise funds for smaller exchanges and try to rebuild our MM capability.
The only communication we’ve received in almost a month was a message that they will be delisting us. They did not reach out or even attempt to clarify anything. I have personally emailed George Cao multiple times pleading to work together on rebuilding and salvaging the relationship however he’s never replied.
Personally I take responsibility for not communicating early enough about the strategic investors; however, I do not accept that as a scapegoat for Bitmax to completely abandon us.
Until a new exchange listing is secured, airdrop and bounties will be put on hold. As soon as we list we will resume the airdrop and bounty distribution process.
Other projects have reached out voicing similar experiences with BitMax. At this point in time, any project considering to list on BitMax’s IEO platform should do so with extreme caution. Again, I apologize to the community and I strongly believe that we can continue to move forward and take this as a learning experience.
Because of all that’s happened, we will be putting all private investors on an accelerated release schedule. In addition, we are proud to announce that our planned masternodes will be the first in the world to facilitate rewards partially in stablecoins. This hybrid rewards model will be made possible through our enterprise partners, and we could not be more excited to be able to claim that DeepCloud will pioneer the way in hybrid reward masternodes. More details will follow.
We’ve come this far, and we have no plans of stopping. That being said, we are already in talks with several exchanges for a potential listing so stay tuned.
