Link to the video: click here
We have included a copy of the AMA transcript below.
Dear Edenchain Community,
I’m James Ahn, CEO of Edenchain. The Republic of Korea is celebrating Chuseok, one of the biggest festivals starting from 22 Sept to 26 Sept. Chuseok is like Thanksgiving feast with a long tradition of meeting with the families who have been apart from each other, asking for each other’s sincerity and eating delicious food.
During Chuseok, most of the offices and shops would close so that workers can be with their families. Nonetheless, we understand that cryptocurrency never sleeps. An unfortunate limitation of Edenchain is that our team is primarily based in Asia, and a minority of attackers have taken advantage of that to spam and posted inappropriate materials in our telegram community. I sincerely apologize for that and we have taken steps since then, to correct the limitation.
Question 01: Have you considered adding more namespaces into the testnet? The current performance of 2,000 TPS does not make it more impressive than other projects.
The technological challenge faced by Edenchain is not to increase the number of namespaces. Currently, our network can handle up to 65,536 namespaces. The real challenge is in making each namespace faster and we have succeeded in optimising the speed of each namespace from 40 TPS based on Hyperledger, to 1000 TPS; a 25x improvement in speed.
Our current testnet hosts 2 namespaces and we can easily increase the number of namespaces to 65,536 namespaces, which would allow us to achieve a network speed of 65mil + TPS. This can be done by simply purchasing additional hardware and running additional nodes to host the namespace.
The fact that our namespace could already achieve a TPS of almost 1000 per namespace, shows that we have achieved our objective.
Question 02: In our token metrics, it was stated that the token sale represent 40% of the total supply. Why was the 15% strategic partner allocation sold as well?
Our presale was conducted over a span of almost 2 months. From March till late April. During this time we spoke to a lot of potential strategic partners to better understand what they could contribute to the project. SAFTs were signed from March all the way till May, with ETH pegged to the date the SAFTs were signed.
Two things happened as we drew closer towards crowdsale:
1) Even after pre-sale was officially closed, there were still a significant number of potential strategic partners who reached out to us, offering help such as exchange listing, partnerships to use our platform, and others. These were strategic partners of quality whom had they approached us earlier, we would have accepted them as a strategic partner. Unfortunately, there was no room for them left as the full 40% of token allocation was sold, and we did not want to cancel crowdsale because our community is important to us.
2) Majority of ETH was raised around April, where ETH prices were significantly higher. Shortly after crowdsale, as we were looking to liquidate the ETH collected to run the company, we realised that we did not have 24mil USD worth of ETH anymore.
Noting the two reasons listed above, we decided that it would make sense to allow some additional strategic partners to be a part of Edenchain by using the Strategic Partner allocation of 15%. This made sense because the early stage of Edenchain development was the most crucial time for Edenchain which would determine whether we could become a world class blockchain platform. During this time, is also when we need the support from our strategic partners the most, and the people whom we have evaluated and were deemed at that point of time, quality strategic partners who could help the project to succeed.
Unfortunately, not every one of our strategic partner had delivered upon their promises; a woe faced by many ICO projects when strategic partners promises the world to you, be it implied or explicit, but failed to deliver on their promises after the ICO.
The negotiations with the strategic partner stake of 15% took some additional time and there were some conflicts that were being ironed out (dispute over how much EDN tokens should be received). Hence the team did not have a confirmed figure for what the exact circulating supply was. We opted to give a confirmed figure to the community only after we have the confirmed figures.
In hindsight, we should have forewarned the community about the fact that we were still engaging additional strategic partners and that the 15% strategic partner allocation would be used. We had not anticipated that this would be a problem since the token allocation was publicly available and it was stated that 15% was allocated to strategic partners.
Question 03: Who are the investors who got the 15% strategic partner allocation and what were the terms given to them?
Most important to us was to ensure fairness towards our community who purchased the tokens. Most of the partners who received allocation from the 15% strategic partner allocation are already listed on our website. Some of these includes prominent VCs, who have promised to help Edenchain get listed on major exchanges and others include strategic partners who have committed to building their dApp on Edenchain platform.
These strategic partners are at least of equal calibre as that of our presale participants.
The terms given to the strategic partners were the same as everyone in presale. They paid 0.06 USD per EDN and received bonuses ranging from 10–25%. All their tokens were subjected to a 5 month vesting period.
Question 04: Why didn’t Edenchain communicate earlier that the 15% allocation given to strategic partners was sold?
In hindsight, we should have communicated this more explicitly to the community. Our token allocation plans had already stated clearly that 15% would be allocated to strategic partners.
We had not anticipated that there would be a community backlash given that our overall market valuation remains unchanged at 60mil USD. Also, the fact that we have brought on additional strategic partners also mean that they contribute additional value to Edenchain in terms of partnerships and to enhance the vibrancy of the Ecosystem. Going by that, these strategic partners have added some value to Edenchain and would have a positive effect on the valuation of Edenchain tokens.
Question 05: What is our community management strategy after the FUD? What do you think caused the circulating supply FUD?
The FUD was a strange one as it did not happen immediately after we released the circulating supply update. At that time, the general community consensus was positive as this supply update can be submitted to Coinmarketcap and help Eden gain visibility. As a matter of fact, this circulating supply update is not exactly new information, as some of the more astute members have already found out about circulating supply, just from simply observing the wallets.
At around 1am (seoul time), when our social media defence was the weakest, we experience a large influx of new members whose main motive of joining, is to spread FUD or stir anger instead of learning more about Edenchain. This is evident in their use of hateful words and also accounts with no display pics and shared chats.
The likely motivation for the coordinated FUD would be either to push the price down so that bad actors can accumulate amidst the low volume/supply of Eden tokens or possibly by enemies of Edenchain such as pools that were refunded during pre-sale. Interestingly, this FUD operation can be observed in the token price where the fall swiftly form a V shaped recovery and retraced all of its losses in a few hours. We want to alert our community members to always verify what they read from official sources, to prevent monetary losses due to emotions and bad actors.
Another important factor to consider is that Edenchain current circulating supply is very low, only 12.6% of the total supply with a valuation of approximately 3.7mil USD which is very easily manipulated and cornered.
To improve our firewall against such future attacks, we have hired an additional community manager based in Europe to improve the overlaps and coverage in our communication channels. As of now, we have community coverage based in different geographical locations to ensure that a repeat of such an incident would not happen again. We will also be using telegram bots to act as additional second layer of defence against misinformation while maintaining a open and supportive community.
Question 06: How does Edenchain plan to establish ourselves as one of the most successful blockchain platforms?
Every legitimate business must have a strong mid to long-term goals and execute well to achieve them. It is an equation of success that we know well given the entrepreneurship experiences that my team and I have.
It takes time to create value for the community and Rome was not built in a day. Focusing on Edenchain is how we believe that we can grow Edenchain to become a successful blockchain platform.
In the short-run, there may be missteps taken by the team occasionally, and we will face a lot of challenges. We embrace that challenge and are willing to learn from our mistakes. That is how we move from strength to strength. Taking a long-term vision towards building a business tend to result in some trade-offs in the short run and from Day 1, we have been clear that Edenchain would always focus on the long-term sustainability of the project. Focusing on short-term objectives such as pushing out news rapidly tend to result in undesirable results for long-term supporters of the project.
Consider this, there have been calls for Edenchain to do a token buy-back program, similar to the likes of ICON. While this helps to artificially inflate token price in the short-run, it does not serve to create any value in the long-run. In fact, it reduces the amount of resources that Edenchain would have to grow and accelerate the platform. There will always be trade-offs when we are building Edenchain, but we do not see it as a sprint but a marathon.
Question 07: What is the exchange listing strategy from now onwards?
On exchanges, our vision and commitment to Edenchain holders have never changed since day one. We are still committed to increasing the liquidity for Eden Coin. However, we need to remind everyone that our token release schedule is 5 months, which means that to create real value for Eden holders, we need a consistent and sustainable token price while our marketing efforts and other resources, needs to be spread out over the similar time period.
Like we mentioned earlier, our eternal target is always the long term sustainability of the Edenchain platform, and to return value to long term supporters of the Edenchain project.
Concluding remarks from James Ahn
That’s the end of the questions that we will cover in this AMA. We will address the other queries in Reddit over the next few days. Additionally, what i would love to share with the community next week, is about Edenchain long-term vision and go-to-market strategy to ensure that Edenchain will be a blockchain platform adopted globally.
I am excited to share these expansion plans with the community and I look forward to sharing the plans with you soon.
Stay hungry, stay foolish.