The DeFi project supported by Tim Draper grew 140% despite the problematic sale

The credit platform The Defi Money Market (DMM) – supported by Tim Drapers Draper Venture Network – had a difficult birth.

The DEX initial offer (IDO) was successfully completed;; raised $ 6.5 million in 48 hours, however Investors reported problems closing deals, a confusing interface, or raised trust issues in the background of the company.

In addition, fraudsters took USD 40,000 from users trying to buy – although DMM kindly compensated for the lost tokens – and there were claims due to data protection problems.

The DeFi project supported by Tim Draper grew 140% despite the problematic sale
The DeFi project supported by Tim Draper grew 140% despite the problematic sale

Despite the problems DMM’s DMG token is currently trading at $ 0.87, more than double the original retail price of $ 0.36. DMG also had the highest trading volume on Uniswap in the last 24 hours, trading USD 4.8 million against ether (ETH).

What is “DMM”?

The DMM project offers a 6.25% stake in ETH, DAI and USDC, which is secured by real assets. According to the website, the fortune amounts to $ 8.8 million in vehicles from Finova Financial, whose CEO is also a partner of DMM.

An independent cryptocurrency researcher he claimed have identified several cases where personal data has not been written correctly from the provided records of the underlying assets of DMM.

A chain of unfortunate events

User complaints, telegram fraudsters and a vague chaos underline the many similarities between the DeFi boom and ICOs in 2017.

Shortly after the start of sales, Twitter users complained about errors that occurred during the exchange.;; An anonymous user reported that his ETH was removed from his wallet despite seeing failed transactions and not receiving DMG tokens:

“I tried to buy on the sales side. The transaction failed due to the ETH exchange process. You have debited the ETHs from my account, but I still don’t have any DMM: ETH tokens in my credit. […] Is there anyone I can contact to send them the details of the transaction and solve this problem? “

An anonymous 4chan user shared his outrage at the “poorly managed public sale”.and face legal action after losing money due to a confusing user interface.

Defrauders

DMM also revealed in a post Office that “malicious actors” had infiltrated their telegram channeland they cheated on users worth $ 40,000. However, The team said it had sent each victim the appropriate number of DMG tokens they should have received.

DMM display Closing of the sale saying that “the funds raised will be used to grow the DMM ecosystem and bring even more real revenue-generating assets into the chain and at Defi. “

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