In only over three months after the launch of IBM and Boeing backed cryptocurrency project, Hedera Hashgraph, its’ crypto, HBAR is down 71% from opening around 4 cents on the dollar.
The market suspects dumping of the token on the market by SAFT (Simple Agreement for Future Tokens) investors.
Furthermore, reportedly, there is a high degree of centralization in the governing council. Recently, 4 of its’ 13 nodes are practically offline.
Reportedly, the Senior Vice President of the Council snubbed the claims as he told the media that”nodes aren’t offline. According to them, the third party reporting site, Dragonglass might be a fault here, not the member council.
Nevertheless, the daily value depicted of the 340 thousand transactions is only about $0.25. It suggest a lack of profitability or any return for council members at the time. Hence, suspicions of centralization around it are huge.
Derivatives trader and crypto analyst, Tone Vays, tweeted,
Hashgraphs has always been a bunch of centralized bullsh*t in order for a select few to ICO a token and get rich.
We explained this over 2 years ago: youtu.be/9QSGKPt7t88
Other Network Issues
The Hashgraph platform’s utility is similar to that of Ethereum [ETH] and claims to support over 10000 transactions/sec over ETH’s 12+. However, the network effect within the seems to be lacking considerably. Nonetheless, it might be a little early to assess the network with it’s main-net launch only over three months.
There are other problems of centralization raised as well. According to Scam Alarm,
Team is bullying community and not allowing the use of the logo. Dictatorship of a centralized shitcoin. @ Christian hasker
Cristian Hasker is identified as a Hedera employee. It also posted proof of a suspect dump on the Binance Exchange.
4 out of 10 council nodes of @hashgraph went offline without any explanation
Team is bullying community and not allowing the use of the logo. Dictatorship of a centralized shitcoin.@chasker Christian hasker
— 🚨Scam Alarm 🚨 (@Scams_alarms) December 30, 2019
The price of HBAR at 3: 45 hours UTC on 31st December 2019 is $0.011. It is trading 9.43% lower on a daily scale.
What do you think about the state of the Hedera Hashgraph network? Please share your views with us.
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Nivesh from Engineering Background is a full-time Crypto Analyst at Coingape. He is an atheist who believes in love and cultural diversity. He believes that Cryptocurrency is a necessity to deter corruption. He holds small amounts of cryptocurrencies. Faith and fear are two sides of the same coin. Follow him on Twitter at @nivishoes or mail him at nivesh(at)coingape.com