Recently, FCoin has made things worse. It took less than 3 months from scratch to become a well-known exchange. I wanted to go all the way, but now I’m in trouble. First, QOS was accused of illegal financing, and FCoin immediately suspended its trading in an attempt to distance itself from it. Recently, there was a big change in FCoin’s senior management. Zhou Xiaoxue, director of operations, said on Weibo that he would quit FC operation and transfer the power to Zhang Jian’s wife Lynn.
What is the reason behind the precipitous drop of QOS coin price? What went wrong with FCoin? Where will the currency change go?
Let’s start with the fact that QOS has become the first project in the “Coin reform” pilot zone of FCoin. Xiao Coin is going to stroke the timeline for you:
On July 5, FCoin announced that the MAIN FCoin area was upgraded to “motherboard A” and the innovation area was upgraded to “motherboard B”. At the same time, the preparatory work of “motherboard C” will be launched, positioned as the “currency reform” pilot zone, and the existing mature products or enterprises will be promoted to carry out token transformation, so as to realize currency reform and currency trading. The establishment of “FCoin Reform Committee” and “Main board C” community will be led by Yuandao and MENG Yan, vice president of CSDN.
On July 16, Bizkey, the blockchain POS operator, announced that it had become the first public project in the Fcoin reform experimental zone.
On July 20, FCoin announced that the pilot zone has received applications from many enterprises, including QOS. QOS is a bottom-layer operating system based on the mixture of public chain and alliance chain, with payment, mutual finance and other businesses.
On August 3, Bizkey, the first public project of Fcoin reform pilot area, announced its withdrawal, and revealed that “QOS successfully jumped the queue”.
On August 4, QOS was traded online as the first currency in the pilot currency reform zone. QOS on the first day after the opening limit,
There was a BUG in the early morning of August 6th, when QOS/ETH rise and fall exceeded the limit. FCoin urgently issued the Notice on opening the limit of QOS Project rise and fall. According to the announcement, FCoin platform, after consultation with QOS project parties, decided to open the QOS limit starting from August 7, 2018 in order to maintain the liquidity of tokens.
On August 7, QOS fell rapidly, falling as much as 80.23% before recovering
On August 17, FCoin announced that it had temporarily suspended trading of QOS and requested the project party to clarify and reply to the recent media reports on QOS. In addition, QOS will be transferred to the FOne escrow area.
QOS cliff type fall, Auma electrical doubtful point difficult to clear
Originally the head of FCoin “initial coin reform project” halo QOS on the second day of the performance of the high diving, from the highest price of 0.00006048ETH, consecutive four days, the lowest once touched 0.00000856ETH, a drop of up to 85%, so that investors book value theoretically zero, resulting in many outside accusations of fraud.
At the beginning, QOS has the background of listed companies and has a large number of financial scenes that can be landed, which is the main reason why many investors choose it. However, after investigation, it was found that QOS project was developed by the digital dry yuan team of Auma Electric Appliance subsidiary.
This is despite auma’s announcement on August 15th that it is not involved in the QOS project and is trying to distance itself from it. However, The China Securities Journal has published “QOS token suspected of illegal financing, Auma Electric Doubtful difficult to clear” article, hit auma electric face.
According to the article, the relationship between QOS and Aoma Is still questionable. Although Aoma Chairman Zhao Guodong and others all claimed it was a personal act, China Securities Journal found that the QOS project party tried to wrap up its own aoma background on the one hand, while trying to avoid the association with Aoma in details arrangement.
It is also a wake-up call for other listed companies.
How difficult it is for FCoin to change
What is “currency reform”? The “motherboard C” mentioned above refers to the FCoin reform trial area. The pilot zone is mainly a “token zone” created for some current entity enterprises, aiming to create a new form of blue-chip super-large token economy and establish value investment confidence in the new world of blockchain.
Unfortunately, looking back on the passage now, it becomes extremely ironic. Now it will go down in history as a ludicrous case of open corruption on its very first project, and a huge loss for the many retail investors who had hoped for it.
The Article in the China Securities Journal cited the views of many experts. Among them, Yang Dong, director of the Financial Technology and Internet Security Research Center at Renmin University of China, pointed out that the specific implementation mode of currency reform has touched the legal red line. Currency reform is similar to “asset securitization” in form. If there is substantial fund-raising, it is easy to involve illegal fund-raising and other related crimes.
Therefore, from the perspective of experts’ attitude towards currency reform, currency reform first touched the red line of the law, but also shook the interests of traditional securities, so it is very difficult to promote.
From CoinWhiteBook’s point of view, QOS events actually exposed the current status of no rules and regulations in the coin circle. FCoin’s previous moves were too much, and the market’s regulatory system was not perfect, contributing to this failure.