The cryptocurrency market reacted sharply this week as Gifto (GFT) experienced a dramatic 35% price tumble. This downfall occurred after allegations surfaced that the Gifto team had secretly minted an astonishing 1.2 billion tokens, effectively doubling the token supply. This controversial move coincided with Binance’s announcement to delist GFT, raising serious concerns about the project’s transparency and integrity.
On November 26, 2024, Binance declared its decision to delist Gifto among other tokens, citing worries over the project’s development activities, liquidity, and overall commitment. Just a day later, the Gifto team minted the new tokens on the BNB Chain, subsequently depositing them across multiple exchanges including KuCoin, OKX, and Gate.io. This abrupt influx of new tokens left investors reeling and questioning the leadership of the project, particularly in the wake of founder Andy Tian’s surprising passing in early 2023.
The implications of this internal decision to inflate the token supply are severe. Initially valued at a low of $0.0068317, Gifto is now struggling at around $0.0071669. The market cap has drastically shrunk, reportedly leading to a 24-hour trading volume that reflects heightened volatility. As of now, Gifto holds a market cap of approximately $16,076,614.
Moreover, the silence from Gifto’s official channels has only intensified speculation. With no public statement issued from the team since the delisting announcement, stakeholders are left in the dark regarding the project’s future. As markets reacted, sentiment turned sour—over the past week alone, GFT has recorded a staggering loss of 55.11%.
- Context: The allegations of token minting raise ethical questions about the project’s direction.
- Investor Impact: The sharp decline in value reflects a loss of confidence in Gifto’s management.
- Future Response: Investors are eagerly awaiting a formal response from Gifto’s team.
As the situation evolves, it remains crucial for investors to remain vigilant about their investments and the shifting dynamics within the cryptocurrency landscape. The fallout from this incident may have lasting effects, not only on Gifto but on broader market perceptions of token transparency and sustainability in the blockchain space.
