HEX cryptocurrency project is facing some community backlash, as many are pointing out suspicious actions, comparing it to an exit scam.
Most recently, a Reddit user pointed out that 800 Ether tokens were withdrawn from the wallet used to store the proceeds from HEX token sale, and 770 Ether were sent to two crypto exchanges – Binance and Bitfinex.
The claims are supported by evidence from Etherscan, which shows that the outflow of funds started on December 12 with 95 Ether, while the largest transaction of 500 Ether was made on Tuesday.
“500 ETH went out yesterday, and straight into Bitfinex a few minutes later,” the Reddit post stated.
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A legit project or another scam?
Launched at the beginning of this month, HEX was quick enough to attract critics with the astounding claims of the founder of the project, Richard Heart. It was operating on the Ethereum network via a Bitcoin UTXO snapshot.
According to Heart, investors in the token will receive over 10,000x returns in under 2.5 years.
To support his claims, he even admitted that the project sounds like a scam; however, he explained that HEX is “designed to increase in value faster than anything else in history.”
The controversy even gained steam when Heart refused to reveal the owner of the wallet address that stores all the proceeds from the token sale.
After the withdrawal of 500 Ether from the mysterious wallet address, it still holds more than 46,000 Ether worth over $5.7 million, per the market price at press time.
“There’s still over 46,000 ETH that can be withdrawn and liquidated by whoever controls this address, but Richard Heart, who created the contract says nobody needs to know who that is,” the post added.