Please read the article above. The Peepcoin swap was cancelled, replaced with a DAPS token airdrop to Peepcoin holders on 06/27/2018 0200 UTC.
With the hype of the Cryptopia listing waning, the leadership of the Peepcoin-DAPS Project have been hard at work behind the scenes. What have we been working on? Investigations! The recent dip in Bitcoin prompted an investigation into the Peepcoin price, sales, buy orders and top wallets.
As we have stated before, transparency in our operation of the DAPS project has and will always be our primary concern. Being honest with our family is what is most important to us and it is always in our best interest to share information regarding project development. During the course of our investigation into Peepcoin, we discovered major issues that required our action as quickly as possible in order to best serve the DAPS project and all of its stakeholders.
As the price of Peepcoin increased, along with the community’s excitement around our project, users made adding exchanges a priority. This increased our liquidity considerably, allowing new and old PCN holders greater access to the markets. Though this has allowed us to grow in the number of stakeholders, there have been unanticipated consequences which warrant difficult solutions. The primary consequence is the concentration of PCN holdings in a small number of wallets.
In our investigation, we found seven wallets that hold over 5.95 billion Peepcoins combined. This means that these wallets hold an estimated 11% of the total coin supply and a larger proportion of the effective circulating/trading supply. If these wallets were “dead” wallets – that do not stake, sell or buy – then this would be of less concern.
What makes these wallets a threat to the DAPS project is that they are “live”. They stake, they sell their stakes, they sell coins and sometimes buy them as well. One address, in particular, has a direct connection to the old developer. These wallets can and have manipulated the price, and we present them below to warn Peepcoin holders.
The wallets (and associating Peepcoin amounts) are:
11 ON RICHLIST
CURRENT HOLDINGS 525M
BOUGHT IN 06/01/2018
9 ON RICHLIST
CURRENT HOLDINGS 622M
BOUGHT ON 04/29/2018
SOLD 600M IN NEARLY-DAILY LOTS, RECENTLY BEGAN AGAIN
HIGH RISK TO CONTINUE DUMPING
7 ON RICHLIST
CURRENT HOLDINGS 858M
BOUGHT ON 04/24/2018
6 ON RICHLIST
CURRENT HOLDINGS 892 M
BOUGHT ON 05/14/2018
5 ON RICHLIST
CURRENT HOLDINGS 909M
HELD UP TO 1.2 BILLION
BOUGHT ON 05/05/2018
weekly sales accelerating
high risk to dump, last transfer out 75m
4 ON RICHLIST
CURRENT HOLDINGS 949M
BOUGHT ON 09/16/2017
HAS NEVER SOLD*
2 ON RICHLIST
CURRENT HOLDINGS 1.2 BILLION
COINS CAME FROM ORIGINAL DEVELOPER ADDRESSES
liquidated all holdings through 03/24/2019
bought again in 04/07/2018
acquired 1.1 billion again
begins selling 1 million daily on 06/07/2018
Selling mentality, willing to dump in a very fast fashion.
Erratic behaviour. Likely manipulated coin in early April.
OLD DEVELOPER’S PREMINE
GOES FROM PCbsY to PSBoS:
GOES FROM PSBoS to PPjVj:
GOES FROM PPjVj to PQVjd:
PQVjd = Current #2 wallet. Current #2 wallet is connected to old Peepcoin developer.
Our primary concern is the original Peepcoin developer and the possibility he may be silently using our project to enrich himself.
Along with the above active addresses, the Peepcoins in Coinexchange.io are still a factor. This old top wallet came directly from the Peepcoin developer’s premine. Before these coins on Coinexchange.io were split up, they were actively staking on the exchange, effectively stealing user’s Peepcoin returns. In the last month these coins were split up in an attempt to obscure how many coins were held by this number one wallet. The following addresses contain the coins that were once in the number one wallet:
If we still supported the Peepcoin swap but blacklisted the above addresses publicly, they would be incentivized to sell and destroy value for our community. The addresses above contain over 20 billion Peepcoin, many of which likely belong to the old developer or Coinexchange.io, who has still refused to clarify who has custody of the coins.
Therefore, we have decided that DAPS will be more secure as a stand-alone entity. To this end, the DAPS team has concluded the best way to ensure chain security is ending the swap plans entirely. This prevents nefarious activity from these wallets or them having the incentive to destroy value for current Peepcoin holders on such a “blacklisting.” There are additional technical burdens by conducting such an automated swap, which may stand in the way of chain integrity long term for DAPS.
To be clear, there will no longer be a swap from Peepcoin to DAPS, as DAPS is not about enriching the original developer of Peepcoin, who has been found to own the second largest wallet. In addition, a large amount of coins are concentrated in the hands of few who have not contributed to the project. Our volunteers work far too hard, and our community has donated far too much out of their (much smaller) holdings to enable this kind of unequitable distribution and accumulation of wealth into the hands of a greedy few. We will be reworking various aspects of our project to reflect this; a total separation from Peepcoin henceforth.
The DAPS initial premine/allocation will still be 1 billion DAPS for the Project and the team, but there will be no swap from Peepcoin. There will also be alterations to the specs of DAPS itself. DAPS will have a very small mining reward and have a supply cap as before, allowing users to mine or stake DAPS on launch, enabling a more organic and fair distribution of the coins.
We encourage you to process this news and then decide the best course of action with your current Peepcoin holdings. The DAPS team will separate from the Peepcoin chain and other aspects of it permanently going forward. This is the only way to ensure a fair distribution of DAPS and minimize the chance that such actors could use our project for personal profit or compromise the chain security.
DAPS development will continue, but it needs your help. We will be launching a month-long donation drive to gather the required funding for full DAPS development. Hiring a full-time team is the best way to produce the DAPS product in a timely manner with the feature package as envisioned. With your support, this goal is achievable, much like the other goals we have achieved so far which many thought was impossible.
Although we leave the Peepcoin swap behind, the DAPS vision will still be enacted. Creating a premiere privacy protocol and fostering mass adoption of cryptocurrency stays our goal. If we are able to gather the funds to achieve what is envisioned, it will be done in a timely manner. With these funds, we will be able to hire a premier developer team and launch DAPS with masternodes, posv3, RingCT, Tor/OBFS4 node protection, and Proof-Of-Audit.
Any donations over the last week towards our previous development have been refunded. We encourage those who previously donated to donate once again and we thank you for your support. Without you, our community, we wouldn’t have made it this far.
We have striven to be transparent with every development milestone in this project and this has been the most difficult update we have made thus far. This is not the end of our journey, but a new beginning. The newly launched donation drive is our chance to secure the funding and accomplish the coin that we created together. We do not need Peepcoin to do this. Our passion is creating a new paradigm of privacy and introducing a new standard of honesty for teams such as ourselves. We hope you will stay with us through the times we have ahead, and we are confident with your help and support we can accomplish these ambitious goals.
We have confidence that this project can thrive even without being based off Peepcoin. DAPS stands on its own merits and will be healthier due to the decisions we’ve been forced to make in light of the above revelations.