On July 24, on-chain visualization platform Bubblemaps said BitMEX token BMEX plunged about 95% after the exchange’s planned September shutdown came into focus. Based on BMEX’s 2021 tokenomics, 92% of the supply was locked in vesting contracts, while only 8% was allocated at listing. That initial allocation was split between a 5% airdrop and 3% for product and liquidity purposes. On-chain data cited by Bubblemaps shows there was only one claim event, on Nov. 2, 2022, when the product and liquidity address claimed 63.75 million BMEX. The roughly 75% earmarked for employee incentives, ecosystem growth and long-term reserves was never claimed and never entered circulation. Bubblemaps said that does not necessarily indicate wrongdoing, but those large allocations were not actually put into effect under the public distribution plan. BlockBeats also noted that BitMEX has not announced extra compensation or special arrangements for BMEX holders, aside from unstaking all staked BMEX and returning the tokens to user accounts. BitMEX had previously described BMEX as a utility token only, not equity, debt, or an asset with promised returns.
On July 24, on-chain visualization platform Bubblemaps said BMEX, the platform token of BitMEX, fell about 95% after the exchange’s planned shutdown in September.
Under the tokenomics model published in 2021, 92% of BMEX was locked in vesting contracts, and only 8% was allocated at the time of listing. That 8% was split into 5% for an airdrop and 3% for product and liquidity use.
Bubblemaps said on-chain data shows there was only one claim event. It took place on Nov. 2, 2022, when the product and liquidity address claimed 63.75 million BMEX. The roughly 75% originally designated for employee incentives, ecosystem growth, and long-term reserves was never claimed and never entered circulation.
The platform added that this does not necessarily amount to wrongdoing. Still, under the publicly disclosed allocation plan, those large portions were never actually implemented.
BlockBeats had previously reported that BitMEX’s handling of BMEX remains limited, with no extra compensation or special arrangement announced. In BitMEX’s shutdown notice published today, the only clearly stated measure involving the token was that all staked BMEX had been unstaked immediately and returned directly to holders’ accounts.
According to an earlier BitMEX notice, BMEX is a utility token only. It is not equity, debt, or an asset that carries a promised return. BitMEX’s disclaimer says the token is used solely for functions on the BitMEX platform, including fee discounts and staking rewards, and does not constitute an investment or create any obligation for refunds or redemption.
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