KuCoin’s First Spotlight Token Sale Sells out in 7 Seconds
Singapore-based KuCoin is the latest crypto exchange to introduce a platform for public token sales (“IEOs“). Called KuCoin Spotlight, the new platform allows KYC-verified investors (excluding U.S. residents) who hold a sufficient number of KuCoin Shares (KCS) to participate in the public token sale — essentially underwriting the token’s future listing.
The sale sold out in 7 seconds, raising 1,902,000 KCS — worth around $3.44 million at present. Each participant was allowed to purchase a maximum of 600,000 MTV, with a 30,000 minimum buy, however, many users encountered problems, leaving them unable to participate. Additionally, according to a recent tweet by KuCoin CEO Michael Gan, some users liquidated their KCS before the purchase was completed, leading to their MTV being returned to the pool — these re-offered tokens were purchased around 10 minutes into the sale.
Congratulations to 1661 users who successfully purchased the token! pic.twitter.com/vJGuGSPSgP
— KuCoin Updates (@KuCoinUpdates) April 3, 2019
MultiVAC previously received $15 million in a Series A investment from multiple firms including IDG, NGC, Hashed, Signum, Arrington XRP, Dfund and ICODrops.
Interestingly, the sale had a negligible effect on the price of KuCoin Shares, despite the fact KCS was up over 35% leading up to the sale.
This launch comes several days after Matic Network (MTX), a platform for scalable and instant blockchain transactions based out of India, was announced as the next project set to launch its token on Binance’s token sale platform, the Binance Launchpad.
UPDATE 4:49 PM (4/3/19): Updated to reflect the actual sale time. Additionally, a recent tweet from KuCoin CEO Michael Gan claims around 100 participants made the purchase within 3 seconds. The exchange plans to take action against users who employed bots/scripts. The next Spotlight sale will include a lottery, like Binance.
Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.