In a recent update video, the Substratum team announced updated to the token swap as well as smart contract update. However, most surprising to some, would be the quick announcement stating that the team would be day trading ICO funds to maintain capital.
The announcement was wedged between the other updates covered, almost in a casual manner.
The overall updates on the project are a good step forward for the project. However most surprisingly is that the Substratum team will be making use of a trader to day trade funds to ensure the team can maintain funds to continue the project.
The team stated "we are going to not cash-in, but begin basically attempting to trade up so we can further our position as long as possible". The team admits to cashing in some ethereum from the ICO at over $1,000, however the current price of ethereum at $84 hails in comparison to the $250 ethereum price that SUB charged, currently leaving the project down 70% on those remaining funds.
The team will be using a trader to attempt to build up capital saying "We are taking advantage of the trader we have full time and actively trading a portion of the ethereum so we can trade up"
#Substratum Token Swap & Smart Contract Update will begin on Monday December 17th, here's what you need to know...https://t.co/BRVZUJpE9e$SUB #cryptocurrency #blockchain #bitcoin #ethereum #tokenswap pic.twitter.com/98LUhXTg91— Substratum (@SubstratumNet) December 14, 2018
Several people showed their concern for the recent announcement stating that the project is potentially risking investors funds to try and keep a float a sinking ship.
so you will gamble some of your money because you are running out of it ???— Anglio (@PatsSaras) December 15, 2018
be more transparent with us
Inb4 $SUB gets liquidated and exit pumps— 👑 Crypto Kobe 👑 (@RealCryptoKobe) December 17, 2018
An illegal idea too, on so many levels— UZI (@LilUziVertcoin) December 17, 2018
What is even worse is that $sub was a large project that got incredible funding at the best time for icos. Can you imagine the thousands of smaller projects that didn’t get that opportune moment. 🤦♂️— CryptoNekoZ [GIVING CRYPTO EACH WEEK UNTIL BULL] (@cryptonekoz) December 17, 2018
Trading tips by yours truly... pic.twitter.com/Lg81SSimyn— Mr.CEO (@simpurgo) December 17, 2018
Clearly, many dont find this to be good news at all. Does this represent the capitulation of a project, who is trying to mantain positive funds by day trading investor funds?