Have you heard of Biafracoin initial coin offering, ICO? This sounds very familiar to anyone who is a Nigerian and I think it is very instructive that we exercise caution.
According to its press release made available to Bitcoin.com, Biafracoin said it started its Initial Coin Offering (ICO) from 01 December 2017 to 31 December 2017.
They described the Biafracoin ecosystem as a unique blockchain technology with BFC Tokens to run smart contracts for elections and referendum voting globally, Biafracoin “Peer to peer” network will allow citizens of each countries run smart contracts on their computers or phone using BFC Application either in Referendums, Elections Voting or Transfer of Tokens and 300,000 Biafra Coins will be sold every day as per the schedule.
In a very concerning strategy, the people behind Biafracoin said they are selling 9 million BFC Coins and that 1 BFC is equalled to USD0.90. This is a very high price for an ICO giving that many other credible ICOs open with a much lower price.
It is also disturbing that the website promoting Biafracoin has no details about the people behind it and their profile in order to make the project more believable.
Any ICO that must be taken seriously must not only launch and ask for investors to buy tokens for attractive prices but must prove beyond reasonable doubts that the project will use the proceeds from the ICO for the purpose for which it was solicited.
Also, there are more red flags in the details provided so far by the people behind Biafracoin. There are no help or customer support channels provided on the site. This is typical of suspicious ICOs and how they end up bailing on their investors once they invest in the project.
There is also a question mark as to who is behind Biafracoin. For those who are not conversant with the word ‘Biafra’, it is excusable. For starters, Biafra was a failed breakaway part of South Eastern Nigeria which led to a bloody civil war which ended in 1976 claiming more than 2 million lives.
However, since the end of the war, there has been a revisionist move by former Biafran soldiers and some of their children to resuscitate the vision of an independent country out of Nigeria called Biafra.
One Nnamdi Kanu, now at large was the major face behind the recent moves to bring about the realisation of the dream. He and many of his groups called the Indigenous People of Biafra (IPOB) were calling for a referendum to actualise Biafra.
His hate speech and pocket of anti-social protest by his group led to a clampdown on him and his members. Kanu has since gone into hiding. Some members of his group have also announced his removal as the leader of the group on allegations of financial misappropriation.
It is therefore suspicious that Biafracoin ICO is coming at a time when Kanu is said to have lost his grip on his followers and might not have access to the required funding he needs to push his agenda.
It will be interesting to watch what becomes of Biafracoin, however, anyone interested in it must exercise caution.