When I first heard about NIX and their plans for building a decentralized Cryptocurrency trading platform where privacy was of utmost importance, I was excited about the project. The NIX team was made up of developers previously working on ZOIN, but the plan was to abandon ZOIN to another group of developers, and for them all to create NIX as a new Proof of Work with Masternode blockchain. I had owned ZOIN for many months and NIX was going to be openly distributed to ZOIN holders. The developers asked me to do a review here before the blockchain was even created based on their whitepaper released before the airdrop, but I was concerned about one important issue in the plans, and they would not address it for me.
NIX was being distributed only to ZOIN holders who had their coins in their ZOIN wallet, and the snapshot took place at block 297,800. My question to their team was simple. What was the maximum the dev team was willing to keep? 50% of NIX? 75%? 25%? Their answer back to me was they were not sure it would even matter because they airdrop had not been done yet, so they had not made a decision. They said I would find out after the airdrop what percentage was dropped, and what percentage was kept for the dev team. I told them I was not going to review a coin where the amount the dev team held was unknown, and could be a huge percentage of the available supply. This was my first indication everything about NIX was not as it seemed.
The price of ZOIN after the announcement started to rise as people saw a way to buy into a coin potentially challenging Waltonchain and other decentralized exchanges. It was obvious people were just buying ZOIN at this point to get their hands on the NIX being distributed, and the price of ZOIN eclipsed 25,000 sats in the weeks leading up to the snapshot. Also obvious was the first people to get their ZOIN from their wallets to Cryptopia after block 297,800 would be able to take advantage of the highest price as people who bought just for NIX sold their ZOIN. Remember, the ZOIN had to be in your personal ZOIN wallet on your own computer to be eligible for NIX. It could not be on an exchange.
The second indication there was something shady happening behind the scenes at NIX was when a huge selloff of ZOIN occurred starting at block 297,801, seconds after the snapshot. Who would do that? It takes more than 15 minutes to get ZOIN from a personal wallet confirmed to Cryptopia, so nobody participating in the NIX airdrop could have possibly been selling one minute after the snapshot… well almost nobody. There was only one group of people who could have held their ZOIN on Cryptopia and still be credited with NIX, the NIX development team. They would get their NIX by default because nobody would be claiming the NIX held on Cryptopia at the time of the snapshot. Fifteen minutes later when the first ZOIN was fully confirmed on Cryptopia sent from people’s private wallets, the price of ZOIN had been chopped by more than half by the rampant selling of someone. It is the only scenario that makes sense, but of course it cannot be proven to be true or false.
The third indication happened today, a few days after the airdrop was completed. Remember I had asked the team what percentage of the NIX they were going to keep? They said they would not tell until after the drop was over. Well, apparently they will not tell now either. I was informed it would not be disclosed for two reasons. First, they did not want to hear people complain about how much they kept. Second, the information was private, and none of my business. Private? The team has bio write-ups on the webpage of the developers, and I am not asking for their personal balances, just the dev fund. It is not a question invading their privacy. This statement from their developer concluded with, “does no good to disclose that info, so we won’t” (the full conversation is below).
I would disagree. It is important for people to know how much NIX the dev team holds. Would you buy into an ICO where the dev team refused to disclose how much of the coin they were keeping? Of course not, so why does the NIX team think it does no good to disclose the info? In my opinion, if there was nothing to hide, nothing would be hidden. If the NIX I owned had not been airdropped to me, I would not be buying based on the information above and the responses I have received from the team.
I am not saying there is not money to be made with NIX. Their dev team is experienced, and their plans are ambitious. If they succeed the crypto world will be greatly blessed by their exchange. I am just warning you of the things I am seeing so you can make an informed decision.
I was kicked from NIX discord for writing this article. Let’s call that indication number four.
Conversation with NIX dev on Discord – 07/16/2018
Me – Today at 1:10 PM
now that the drop is over, have the totals been made known? Total distributed versus total for the team?
when I asked the same question before the drop I was told the data could not be known until after the drop, so the numbers would be disclosed then
let’s say there are 2 million NIX in existence, wouldn’t people like to know if 500,000 were dropped and 1.5 million are going to the team?
jackieboy – Today at 1:17 PM
2 reasons why it won’t be disclosed
People on both sides of the spectrum complaining – it’s too much or not enough. Another, funding is private
Your curiosity is merely that
Does no good to disclose that info, so we won’t
Me – Today at 1:19 PM
that is not true, it is not curiosity, it is a measure I, and others, would use to determine if it is a good idea to sell or not based on how centralized the distribution is
jackieboy – Today at 1:19 PM
Well you won’t know
So sell or buy with that info
It’s not my concern