Thoughts on Electroneum

As everyone is probably aware, Electroneum didn’t release the ETN wallets to ICO participants last week stating that there was a security breech. Electroneum has just made a statement that it could be another 3- 4 weeks before they are able to launch the wallets.

Some people are ‘mining’ and selling and some people are waiting.

People talk about mining ETN but I want to point out that the ‘mining experience’ is just simulated mining where they give you free coins for running there mining simulator.

The real problem with the delay in release is not really having to wait for the coins that were paid for but that people who invested have to wait while other people can mine and sell.

It does not seem fair that Electroneum are distributing ETN to people running mining simulators on their PCs who are then able to sell for profit while the people that invested are subjected to watching the sales of others without being able to get involved.

What is happening is creating a lot of disappointment for people waiting for their coins but it does benefit Electroneum as a company because the limited supply of ETN on the market has artificially stimulated the current price and so Electroneum can pat themselves on the back and say they are in the top 30 on Coinmarket cap.

The fair and egalitarian thing to do for the people would have been to delay or halt distribution to the mining simulators until everyone can access their wallets but Electroneum did not choose to do this and instead chose to artificially stimulate the market for position amongst coins that actually deserve to be there.

Although, I suppose, if someone was extremely bothered by this they could just start mining themselves.

Once all the wallets are released there will be people selling properly and the price will drop dramatically and quickly.

Electroneum always a low value coin in my mind- the only real planned purpose is for it to be used as credits in games and for gambling. I see Electroneum as being very much the same as Bytecoin or Reddcoin.

I would be very surprised if ETN is ever really worth much more than 0.01- the ICO price. Maybe it will be back to 0.05 in a few years if there are some big news and partnerships etc but that remains to be seen.

The whole idea of having so many coins to eliminate using more than 2 decimal places does not sit with the idea that the coin could be worth much more than $1. Some people have been talking about ETN having the potential of triple figures, I seriously doubt this for ETN but if this was to happen then you would need to use more decimal places to represent low fiat amounts- their example of the price of a can of coke only works if ENT is only worth a few cents.

I did invest a relatively small amount into the ICO with the intention of selling when it got to market so I am disappointed to not be able to put my plan into action.

If it was someone’s plan to invest for a long term hold and they believe in the project then this delay should not really be a problem in the bigger picture although I can imagine that if you invested a high amount this last week would have been a bit stressful.

I would like to see everything come good with Electroneum as I believe the more people attracted into Crypto the better and I hope that all the new interested people that Electroneum brought in have not been put off.

I do hope it all works out well in the long run.

Cheers
Boon