Tokencard ICO Bug Nets SNGLS Investors Up To 1,100% Extra

Tokencard says it is “constructing a solution” after a bug allowed some of its ICO participants to allegedly gain up to 1,100 percent in extra tokens.

In a blog post Wednesday, the distributed banking platform’s CEO Mel Gelderman said that while it was “not a large issue” developers were “taking it very seriously.”

A post on Reddit highlighted a specific case in which a bulk token buyer sent SNGLS tokens as opposed to ETH or others, paying around $0.069 per token rather than the standard $0.096.

Spending a total of $432,000, the investor purchased a total of 6.2 mln tokens out of the 42.3 mln total supply, meaning a single party now controlled 15 percent of all available tokens.

“We were prepared for these kinds of possibilities; transfers are frozen until we are satisfied with the results,” the blog post, which was also reproduced as a response to the Reddit thread, continued.

Tokencard’s ICO began only on Tuesday, with statistics from the project’s website stating $12.7 mln had been accrued.

Developer Peter Vessenes also released a technical statement about the problems, stating “two server problems” were under investigation.

Vessenes faced problems of his own earlier this week, his name surfacing on allegations that he “stole funds” from creditors of Mt.Gox.

Gelderman defended Vessenes in a debate on Reddit.

Last week, TaaS’ ICO also concluded amid criticism of developers’ integrity, with the latter describing claims they were linked to a “Ponzi scheme” as “fraught with inaccuracies and assumptions.”