Blockchain DEXs Onchain and Camelot part ways over IFO spat

In the dispute that originated from February 22, decentralized exchanges (DEXs) Onchain Trade and Camelot terminated the agreement for the former’s initial fair offering (IFO), with both companies alleging that the opposite counterparty acted in bad faith. IFOs, while still an emerging concept, typically include promises made by developers that involve no venture capitalists, no whitelisting, no presale and the majority of revenue going to token holders, on top of traditional initial coin offerings.

According to Onchain, the developer began to negotiate with Camelot for IFO, the latter charged a fee of 2%, and both parties agreed on the amount. In addition, Camelot required Onchain to exclusively sell tokens on the platform, which Onchain also agreed to. However, at this point, Onchain alleged that Camelot became “more demanding and tried to start another round of bargaining; we began to feel uncomfortable with Camelot and decided to end the deal with them altogether.

In the follow up tweet in Chinese, Onchain, which expresses the essence developer “came from China,” explaining that the cause of the disagreement was the sale of “unlimited” tokens allegedly demanded by Camelot. “There are many opportunities in the bear market; retail investors simply do not have the risk management and the ability to assess the value of projects,” wrote the developer of Onchain.

In response, Camelot said that Onchain’s statement they are “false accusations.” According to Camelot’s version of the story, the IFO sales model “was never mentioned as an issue by the team. [Onchain].”

“This number is low [2% fee] which has never changed from our side, set below the market for the launch due to the desire to support the ecosystem and facilitate the protocol transition from zksync.

About exclusivity, Camelot explained who “perform various IDOs [IFO] models are not feasible, and they are clearly communicated, and on many occasions the OCT team confirms their understanding. The company later accused Onchain’s leadership of “acting in bad faith or simply being inexperienced” and “rejecting it after the fact” in several direct messages, which Camelot said led to the cancellation of the deal.

“We will work hard to try and make every project a success, but some will and some won’t. But in the end, those who don’t know your words matter, won’t have a seat at the Round Table.

For which Onchain the answer, “Lie us into canceling deals with other partners and start bargaining thinking we can’t live without you, citing good faith.” Onchain has since decided to move IFO directly to the website. At the time of publication, Cointelegraph could not independently confirm the allegations made by either party.