Users Accuse Blockchain-Based Lottery KIBO of Scam
As of October 1, KIBO has been running its ICO having raised Ethereum-denominated equivalent of $3 million so far. During this time, ForkLog received numerous letters from our readers pointing out about the project’s dubious reputation and going as far asÂ accusing the platform’s creators of being downright scammers.
ForkLog publishes this articleÂ in order to advise beforehand of possible adverse consequences for our readers.
According to various reports, many investors supposed that the raised funds will be sentÂ to an EthereumÂ smart contract. However, from what we can see, the money is sent to a regular Ethereum address.
â€śAs of todayÂ myself along with other investors have invested between 110 andÂ 1,100 ETH. Unfortunately, we came across the aforementioned information only in a few days afterwards. This information is being actively discussed in various exchange chat rooms. Even now, the request to return the minimum investment (110 ETH) or at least a part thereof considering all possible fees, brings about a problem,â€ť one of the readers wrote ForkLog.
KIBO’s support service refused to repay the investment:
â€śRead the information more carefully as to what you buy before you buy. Sincerely, the Kibo team,â€ť the response read.
According to the information available online, the project’s founders are Andrei Miller and his brother Alexei. Earlier they both were connected to a project calledÂ WCM 777 and a Germany-based lottery. Both projects stagnatedÂ and eventually ceased to exist.Â Also there are rumors of them being connected to OneCoin.
Nikita Trifonov, a bitcoin enthusiast, recently published a post on Steemit where he specifies over a dozen of arguments putting the project’s good faith in question. The most interesting of those are listed hereunder:
1. Reputation of the Miller brothers who had organized the venture was somewhat tarnished at the moment of the project’s announcement. There is information linking them to OneCoin, a project currently under investigation byÂ the Scotland Yard.
2. In order to participate in KIBO users areÂ required to pay $130 to the platform, and $1,300 more to purchase tokens. It’s quite weird for a project seeking to conquer the international lotto market.
3. KIBO Personal account is a copypast from a Finnish project, i.e. it’s stolen. Here’s a link to the Finnish lotto: https://www.veikkaus.fi/fi/lotto , and here is the KIBO video: https://www.youtube.com/watch?v=cnKM1rqlBLg
4. During the ICO preparation stage, the affiliate (partner) terms has changed several times. It’s not quite clear how many levels their referral program has. There are seven levelsÂ in your personal account, whereas their white paper mentions only three. Affiliate earnings when your referral wins areÂ either five or ten per cent.
From what we know, some investors are already planning to sue KIBO.
â€śWe’re preparing a class action lawsuit, as our investment alone exceeds the “grand theft” definition pursuant to the Criminal Codes of Russia, Ukraine and Belarus,â€ť one of the project’s investors told ForkLog.
Please take note that KIBOÂ website specifies the following model ofÂ distribution of the funds raised throughÂ Â ICO:
ForkLog has called for third-party experts of Ambisafe to analyze the smart contract Â available onÂ GitHub. The contract in question is supposed to be the lottery’s core. Several lawyers and independent experts hasÂ also joined theÂ investigation.
If you have anyÂ important information about KIBOÂ or the people behind the project, feel free toÂ contact us.
KIBO representatives weren’t available for comment at the press-time, yet we hope we’ll be able to share their opinion soon.