Monaco Prepaid Card Bins Asset Contract, Token Dives 40% in a Day
Monaco has gained Visa’s support but lost community faith after halting its asset contract sparks a mass sell-off.
At the same time it announced Visa as card issuing partner for its prepaid rollout, Monaco said its asset smart contract scheme would no longer feature in its future.
Holders of its MCO token, which launched via a 70,000 ETH ($2.1 mln) crowdsale earlier this year, reacted sharply. As of press time, its value was down over 37 percent in 24 hours.
In an explanatory video, CEO Kris Marszalek said that “legal” and “commercial” concerns had led to the decision.
“This decision is great for the long-term protection of value for all token holders,” he said in the company’s defence.
“We only wish we could have done this faster.”
Monaco had touted the asset smart contract as a key value feature to the same would-be token holders in the run-up to its ICO in May.
Perhaps unsurprisingly, community members reacted with mixed feelings as MCO continued declining from $10.50 Oct. 31 to $6 Wednesday. It had previously reached highs of $25.
What’s the point of the tokens?? Ahhhh you have ripped the community off.. you should be ashamed of yourself.. glad I sold at the peak ??— Al Sobky (@OmarAlSobky) November 1, 2017
"We believe that the Monaco card program lays solid foundation for Monaco's growth, and we're grateful to all partners for their support,” Marszalek meanwhile continued in a press release about the Visa reveal.
He added the debut was nonetheless “an important step towards Monaco's vision to introduce cryptocurrency to the mass market.”