HEX threatens to implode as creator Richard Heart faces fraud accusations

Over the past 24 hours, the ether-based token HEX has taken a steep nosedive, trading astatine $0.02 astatine the clip of writing. As creator Richard Heart battles allegations of fraud, the prima could beryllium mounting connected the HEX universe.

Heavy HEX criticism

HEX was launched successful 2019. Since the token dawned connected the crypto scene, shrugging disconnected the “Ponzi scheme” trait has been adjacent to impossible. Crypto analysts were adjacent questioning however its marketplace headdress surged to astir $1B successful mid-2022, yet the coin seemingly remained “unnoticed” by the crypto market.

“In crypto, there’s a tribalism that each coin you bargain is simply a world-changing astonishing thing. Every coin anyone other buys is simply a scam by default.”

In the past 24 hours, HEX investors person seen the token’s market capitalization drop from $3.9B to $3.7B. Its terms mislaid 3.5%, astatine the clip of writing.

HEX/USD terms chart. Source: CoinMarketCap

Mike Alfred, a crypto enthusiast, noted that the task was self-destructing aft helium received quality that PulseChain was not going to launch

The PulseChain tube dream

PulseChain is the different “pipedream” that has been massively sold to the HEX community. Initially, PulseChain was to beryllium this accelerated and cheaper ethereum rival but present remains to beryllium a fork. The PulseChain squad has besides announced an airdrop for each ETH holders aft the fork is successful.

PulseChain has been done galore testnets passim 2021, each of which gave anticipation to the HEX assemblage of a aboriginal reward.

HEX, PulseChain and PulseX combined is simply a $5 cardinal project, which could beryllium catastrophic to the marketplace if (or when) it implodes. The information that crypto influencers promoting HEX were slapped with subpoenas by the U.S. Securities and Exchange Commission (SEC) does not easiness the hostility among investors.

Grounds for crypto regulations?

The events of an improbable bankruptcy announcement from FTX and conspiracy theories that SBF was a authorities cause sent and funded to infiltrate the crypto sphere person near galore aghast. Some crypto enthusiasts judge the SEC orchestrated the FTX saga to get ‘legitimate’ reasons to modulate crypto. 

While they might, to immoderate extent, beryllium to beryllium true, the beingness of privateness coins similar Monero could beryllium to beryllium a hurdle for the SEC.