The Exit Scam That Wasn’t – Stox Refutes Allegations of Wrongdoing

The blockchain start-up has refuted allegations of wrongdoing and said it will initiate legal action against parties that defame the company.


The Exit Scam Allegations

Stox, a blockchain project whose ICO was promoted by boxer Floyd Mayweather has again been accused of having pulled an exit scam after raising over $33 Million through an ICO last year.

The allegations were made by an anonymous user on Reddit and some other social media platforms.

Strongly refuting the claims, Stox, responded on its blog earlier and said:

Today we witnessed a shameful attempt by anonymous sources to harm our reputation by making unfounded allegations.

According to Stox, the anonymous source just reposted a message that had appeared on social media last year and had been answered by the firm last year in September.

The post says, “This source copied the message and shouted, ‘Exit scam’ without having any cause whatsoever,” and further added, “We would like to stress that Stox will bring legal proceedings against anyone who defames Stox with unfounded allegations.”

Stox Clarifies About the Revoke Transactions

The anonymous post had gone into the details of some transactions which it alleged were tokens that were supposed to vest being dumped by some stakeholders post the ICO.

Stox explained these transactions as revoke actions of vesting contracts taken more than a year ago.

According to the post:

The revoke function is an internal utility function that can only be used by the vesting contract admin. This function cancels vested tokens to allocated accounts and transfers all those tokens back to the admin account.

Stox clarifies that the revoke function was used post-ICO to correct the vested amounts in invest.com’s and the team’s wallets to bring it in line with what was committed in the white paper.

It further says that the revoke option is used to adjust vesting terms with partners when the contract terms change or when employees quit the firm.

The blog provides the links of the clarifications posted last year by the firm.

Relationship with Vendors

The anonymous post had further alleged that Stox’s vendors like Commologic and Amazix had left the company and that the firm’s advisor Moshe Hogeg had dumped a significant portion of his tokens on an exchange.

Responding to above, the blog clarifies that the contract with the Israel-based vendor Commologic was terminated and development operations shifted to Europe.

Regarding the relationship with Amazix is concerned, the firm says that the contract with them was terminated due to disagreement on commercial terms and the deal is being re-negotiated with them.

About Moshe Hogeg’s transaction, Stox clarified that those were his private transactions on secondary markets and had nothing to do with his relationship with the firm.

The blog, reassuring the community, concludes:

To summarize, this project is continuing to work and move forward. We will continue to develop the product in the best interest of the company and our users.

What are your thoughts on this incident? Let us know in the comments below.


Images courtesy of AdobeStock and ShutterStock

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