Wednesday, May 27, 2020

‘PTK Token’: How A Former Banker Created Fake Crypto To Prove His Point

Crypto community has set its blind eyes in the real relevance of ICOs and STOs in the market and former banker, Colin Platt reveals this through his experiment.

Way Too Easy

The existence of fake cryptocurrencies and unreliable ICOs still roam around the internet and even in the market. With this, the number of crypto investors that turn into crypto victims suddenly fills up the room in the crypto space. Along with this sad fact results to an interesting question, is it really easy to earn millions of investors after making a fake virtual token?

“I’ve met a lot of people who have a very faint understanding of this technology and have blown a lot of money on it,” Platt says.

To answer this question, a former banker and a self-proclaimed crypto critic, Colin Platt narrated his experiment in cryptocurrencies where he confessed his findings. According to the report in The Block, Platt’s founded crypto token named Pitch Token Klassic (PTK) — that has been around the market for quite some time now — had been revealed as a fake and valueless token in the crypto market.

How This Started?

Before all these happened, Platt, a former BNP Paribas banker, posted on his Medium account on September 2018, about his plan of creating a parody token on which investors can buy and sell in the market. As he described, people in the crypto world tend to believe on crypto’s value going up without caring to know how it worked or how it was utilized.

“What if we could use the amazing Austrian economics embedded with the tokenomics to execute a token that is all pump, but with none of the dump?”

This mindset pushes Platt and his friend Tim Swanson, to formulate a token that will show of his belief. As he narrated:

“After several beers and pizzas we concocted a really dumb coin that was so silly, that there is no way it could exist: enter Pitch Token. The gist of it is: someone who wants to pitch an idea to you, has to first pay you in pitch tokens. And then, if the investor likes the idea, the investor will invest pitch tokens back into your company. And you can’t sell the pitch tokens for less than they were bought for because of a centralized order book: all pump, no dump! Circular flow of a useless coin!”

After Some Time

After almost a year ago, PTK quietly sits on its value of $3.6 quadrillion– making Platt the richest man in the world, only according to his website.

Chill, Crypto Space

Still, Platt reiterates on his visit on Seoul Deconomy that what he had done was only to prove how people in the crypto space can be naive in the market and easily see a valueless token as value-full.

“..those who didn’t get this was a joke. Or who said you shouldn’t joke, people take it seriously. I am actually worried that people will go and try and buy it.”

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