South Korean treasure-hunting company, Shinil Group has recently announced its decision to launch an ICO after its major discovery of a “treasure ship” that rumors to be containing 150 trillion won or $133 Billion worth of gold bars.
The treasure ship was declared as a historical artifact that sank 113 years ago off the Korean coast. It was also confirmed that the ship was the missing Russian battleship called Dmitri Donskoii.
Dmitri Donskoii, a 5,800-ton ironclad cruiser was built for the Imperial Russian Navy in the early 1880’s but later on sank after the Russo-Japanese War in 1905. According to Shinil Group, the battleship was on the seabed at a depth of 434 meters and 1.3 kilometers off Ulleung Island when they found it and it took them two days to finish the operation. The footage of the discovery was posted by the group on Youtube and it already reached a lot of viewers. The vessel was claimed to be carrying an estimated 10 trillion won along with an addition of 5,500 boxes of gold coins and another 200 tons of gold bars that equivalents to $133 Billion.
Initially, the plan for the found treasure was to give the half of the gold bars to Russia while 10 % would be donated to fund tourism of Ulleungdo. But now, Shinil Group decided to make the battleship as a collateral for the launching of their own cryptocurrency called ‘Shinil Gold Coin’. They were also currently initiating private sales to start their initial coin offering (ICO) on July 30 with the plan of exchanging starting on August or September. The estimated price range of the Shinil Coins would be 10,000 won or $8.87 for each.
Although, the company claims to discover the wrecked battleship, the South Korea’s Ministry of Oceans and Fisheries stated that the company has not notified or applied for any approval from their administration and once they discover that the Shinil Group break their law, they will be forced to pay them 10% penalty from the collected amount found on wrecked ship.
Due to this controversy, a lot of other speculations were raised on the Shinil Group because of its lack of legal papers stating whether they are a real firm. Also, the company doesn’t have its own website or any social media account linked on its name which raised a lot of questions whether the company can be trusted as a reliable ICO or just a scam. Shinil Group remained quiet about all of these issues but the government of South Korea already warned the investors and users of crypto to be aware of the validity of the ICO’s they see online.