Is Open Platform the Next Exit Scam?

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Open Platform may be conducting an ongoing exit scam after a number of inconsistencies and troubling developments came to light. These include a terminally delayed mainnet, cessation of communications with the community, a now virtually worthless token, and the risk of being delisted by one of the only two exchanges that still host the token.

No Communication with Investors

Open Platform, which raised $18 million from an April 2018 ICO, claims to be a smart contract platform that is “designed to facilitate the connection between centralized and decentralized systems.”

However, for a company with ‘open’ in the name, and indeed with an OPEN ticker, they are currently a very closed entity – the Twitter feed is open to approved users only; the community chat forums have had the chat feature disabled and calls for an AMA going unanswered for over a year; and the CEO, Ken Sangha, hasn’t posted anything since 2018, when the mainnet was, apparently, imminent.

Token Has Been Dead Since Launch

Almost two years later the mainnet is still not live and the project seems all but dead, which is reflected in the token performance:

Screenshot 2020-02-13 at 10.07.38

Open Platform’s situation is worsened by the fact that the company’s operator, Open Foundation, had a lawsuit filed against it in September 2018, in which Open Platform were accused of stealing another company’s software and using it for profit.

Token is in Kucoin Purgatory

Further troubling factors include the fact that there is no mention of the team on the project’s website, the whitepaper was changed without notice after the ICO, and the previously announced partners are no longer to be found. Add in accusations that the team have lied about their token unlocking schedule and you begin to paint a picture of a very bad situation indeed.

KuCoin currently have the token in its ‘Special Treatment’ area, which is basically the waiting room before it is booted off the platform, unless by some miracle there is a dramatic improvement in its volume.

Another One Bites the Dust

This project seems like one of the many that are simply beyond repair, but it seems the team are pursuing it rather than cutting their losses and admitting that it’s dead. The team have yet to respond to the accusations that the project is finished, but the longer this silence continues the more obvious the reality becomes that it is just that.