In February of this year, Fuze, known for their all-in-one card, launched an ICO for a new product known as FuzeX. The FuzeX product offered users the ability to use one card in place of multiple credit, debit and gift cards, and was linked to a cryptocurrency wallet for use with prominent cryptocurrencies such as Bitcoin [BTC] and Ethereum [ETH].
Cryptocurrency enthusiasts flocked to the promise of being able to use these prominent coins for everyday scenarios. The token sale raised a total of $36.2 million in Bitcoin and Ethereum for the token known as FXT. While the FXT token currently is “limited in its use cases” as said by FuzeX, holders can buy FuzeX cards with the token and also pay for an annual subscription fee.
Notwithstanding, the card was seemingly enjoyed by cryptocurrency enthusiasts worldwide, until earlier this week. FuzeX announced that they will be partnering with Bitcoin Cash [BCH]-focused Bitcoin.com. This then resulted with the card removing support for Bitcoin completely, with their statement being:
“Considering the issues of transaction speed and fee, we decided that Bitcoin Core did not fit the philosophy of FuzeX. So we decided to drop BTC and replace it with Bitcoin Cash, which has a much faster transaction speed and a cheaper transaction fee.”
The Bitcoin community erupted in outrage, hurling accusations of a scam towards the FuzeX team. FuzeX mentioned as a selling point that they would be using Bitcoin in their new card. With the removal of Bitcoin, there came a wave of allegations against the team, with user dandarkpill on Twitter leading the fray. He said:
“So @fuzex raised $36,241,600 in BTC & ETH in an ICO for a debit card that will support BTC and ETH. Then announces a partnership with their own advisor @rogerkver and that the debit card will no longer support BTC. How is this not a scam?”
The image that accompanied the press release showed the project leader of FuzeX, Jaehun Bae, at the commemorative ceremony of the partnership with Roger Ver, more popularly known as ‘Bitcoin Jesus’, the CEO of Bitcoin.com. He also commented on the partnership, stating:
“We are happy that this partnership will help Bitcoin Cash lovers all around the world use BCH as an everyday currency. Bitcoin Core, which is more expensive, slower and less reliable is thus unusable in the FuzeX payment system. It will be dropped and replaced by BCH as the base currency on the platform. Furthermore, we are going to cooperate with FuzeX in an effort to continue coming up with win-win situations for all users.”
It is also important to note that Ver is now part of the FuzeX team, holding the position of advisor since 26th July. Twitterati spoke up on the addition of the controversial figure to the team, stating that the move was bad for the company. User MyLegacyKit stated:
“Oh dear, this is going to cost you customers… @rogerkver is, together with @ProfFaustus (also #Bcash) one of the most controversial persons in crypto… Good luck handling this mistake!”
User WinMasterz seems to be one of these customers, stating:
“Unfortunatly i was in from the ICO. I sold them all yesterday when they announced it. I felt sick just holding it in my bag.”
User GeneralSeven stated:
“Looks like a scam… Unless they can document that they somehow tried and failed to implement BTC support, it looks like they raised funds under false pretenses.”Looks like a scam… Unless they can document that they somehow tried and failed to implement BTC support, it looks like they raised funds under false pretenses.