Just one day after announcing the 58th Launchpool, Hamster Kombat (HMSTR), Binance has announced the 59th Launchpool project, Catizen (CATI). However, the initial community reaction to CATI’s tokenomics has not been very positive. Many players believe that the project is a “scam”.
Here are the latest notes and reviews from BeInCrypto on the matter.
Also Read: Hamster Kombat (HMSTR) price prediction when listed on Binance
Players Outraged After Catizen Announces Tokenomics
Catizen (CATI) is a Telegram mini app that was launched at the same time as Notcoin (NOT) in early 2024, but it was not until now that the project announced that it would be listed on most major exchanges. Catzien is not simply a Tap to Earn, Catizen has a gameplay with more operations but is still simple overall, mainly for players to earn as many reward points as possible and hope to receive Airdrop later.
Catizen (CATI) Latest Tokenomics. Source: @CatizenAIThe latest Tokenomics released by the project on September 15th showed that the total supply of CATI is 1 billion. Immediately after that, the community appeared with many negative comments and reviews expressing the disappointment of players after nearly 9 months of waiting. The reasons for this dissatisfaction are as follows:
- Previously, Catizen announced that players would receive 43% of the total supply, causing the community to misunderstand that this 43% would be distributed on the TGE (Token Generation Event) day. But then, the project reduced the Airdrop supply from 43% to 34%, but Chia it into 2 seasons and 9% for Binance Launchpool. This means that the amount of CATI that players received at first was much less than expected, in fact only 15% in Season 1. The Airdrop allocation into Season 1 & 2 was also not mentioned in the Whitepaper. This is also the reason why many comments accused Catizen of being a “scam”.
- Many comments said that Binance Launchpool is not a true Airdrop . In addition, paying players receive more CATI than those who try to “grind the game”. This makes players who have spent a lot of time playing Catizen disappointed and frustrated.
- Up to 20% of the CATI supply is allocated to the team, which is more than the CATI Airdrop in Season 1. This goes against the recent trend where most of the Telegram mini app Token were allocated to the community at once.
In a user-generated poll , with over 6,000 votes, 65% felt “scammed”, 17% felt Catizen was a “Worst” project, and 13% felt “Bad”. Clearly, Catizen has had a bad start.
Projects with “unpopular” tokenomics will often fare poorly.
It can be said that 2024 is the year with the most disappointing Airdrop . Partly because users' expectations are too high while the market lacks cash flow, partly because projects overvalue themselves.
- In February, Starknet (STRK) also announced controversial Airdrop conditions, STRK price dropped 90% after listing.
- In June, ZKSync's controversial Airdrop caused ZK's price to drop more than 70% after listing, to a lower level than when it was first listed.
Projects that initially create negative sentiment are more likely to have difficulty gaining community support after going public. This is currently a major disadvantage for Catizen (CATI).
Also Read: Cryptocurrency Airdrop “inflation”
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