Focus: dissolution of Lisk Elite group
At this point the news is confirmed: due to several facts, Elite members started to fight and this rapidly brought to a division.
The first disclosure came up on Elite website, managed by Rooney: “Elite Group will not do reward payout using this website any more. I have quit Elite Group. I inherit the unpaid reward, the total is 4,985.5422 LSK, I will pay that amount personally. I will continue to pay reward to my voters weekly.”
The community investigated why this happened, how many people are involved and what we can expect in the future.
According to the version provided by Reo (savetheworld delegate):
“Elite group has some internal disputes over some issues for a long time, one of them being transparency and issues with a few individuals controlling the group and not honoring the democratic system we all wanted it to be. Elite group finally took a stand and voted for democracy and full transparency.” (link of the statement)
He also launched a new group, temporary called ‘Lisk supporters group’: “To let everyone know I have removed myself from the elite Group (…). As part of the first step of change I have notified that only active elites can join our Lisk supporters group and that everyone must be active and come here to preset and introduce themselves.”
This group now counts 10 people: Mrgr, Carbonara, Someonesomeone, Forgeroflisk, Jong, Chamberlain, Savetheworld, Spacetrucker, Goodtimes, Veriform. There will not be a “vote for all rule”, so people will not be penalized if voting only some members.
He also added: “First of all Elite Group was “hacked” and 35000 Lisk stolen from the website. This was 100% under Rooney’s control and he refused even after to allow anyone else to have control. Rooney said sorry it was his bad and he would pay it back, he never did.
2. Elite fund – bigfisher was granted 100k Lisk . Around 750,000.00 euros to invest in projects to try and gain a profit for the group, again we asked time and time again for this info for months I was ignored and brushed off” (link of the statement).
Reo reported that Bigfisher, Rooney and Luiz were in charge of development and operations in Elite, they managed the funds but without proving proof of expenses. Elite members voted to split the remaining funds between themself but the bosses refused to proceed. After a second vote and many internal contrasts, Rooney split the funds but closed the website.
China delegate, accused to be a multiaccount of Luiz, came up on Discord to prove to a different person: the nickname Aslan said that there are 3 people behind that delegate and they actively work to improve Lisk, managing Chinese groups and websites (Lisk.asia and eliteeffect.info) and developing services (FNT Chain, a conceptual application for price prediction based on Lisk SDK).
On the other side, Hedy and Zhou came up to represent Bigfisher: “Normally me and Zhou are working for business or tasks bigfisher and leo asked. We decided to say something as employees of both elitex.io and elite center tokyo.
About EliteX.io, since 2018 I was working as CEO assistant basically responsible for the financial part (not accouting) and also regulation part, and then expand the investors relationship and then business development (mostly like strategic).
Last year in LCU July meetup, we claimed that EliteX was invested by Elite Foundation. Actually this investment is mostly from Bigfisher and Leo. Here we registered the company and pay the taxes for employees. (…)
We admit that we have some mistakes as we develop, thank you for our community members to warn us.” (link of the statement)
Zhou also added: “The reason for the closure of EliteCenter: it’s difficult to cover the cost (manpower cost is not high, mainly the rent of the office in downtown Tokyo).
So we decided to stop the loss immediately, and then continue to operate other stuffs. Some things EliteCenter did:
1) Meetups such as DCR other than Lisk were launched in Tokyo. The event was held once a month before the event, but the effect did not meet expectations, which did not match the high rent.
2) Actively lobbying settled companies to develop in Lisk SDK.
3) Local media relations in Japan are in touch.
liskjp is another node held by bigfisher on behalf of the holders. Early members knew the fact and bigfisher never tried to concealed it. At this node, there are more than 20 people (…) with great social influence in their own country.” (link of the statement)
Hedy said that Bigfisher is a friend of Li Lin (Huobi) and Zhao Changpeng (Binance): Bigfisher met with Zhao in his office, recommended him LSK and after a week Binance listed LSK.
Bigfisher has also some connections with Tokyo crypto media like Cointelegraph Tokyo, created thanks to the foundation of Elite Center Tokyo.
There was also a dispute between Reo and Punkrock, as the latter reported that the former sent threatening messages to several members of the chat.
As asked by some members, Reo confirmed to have run a node for Zy1349 and blackswan delegates, but to be different people and to not own multi accounts.
The positions of LiskHQ
Max Kordek joined the discussion, asking to the community to create a list of new groups and their components and standby delegates that are contributing to Lisk ecosystem, in order to provide easy and accurate info to exchanges (link of the statement).
Lisk community is planning the next move
With the same approach used for “Heroes not Zeroes“, a new movement is aiming at driving away silent forging delegates and replacing them with deserving standby members.
This initiative, that is currently called “Hosts not Ghosts“, splits delegates in two categories:
You are a Host if:
– do not own multiaccounts
– are active in community chat
– are active in supporting community projects
You are a Ghost if:
– have multiaccounts
– are not active in community chat
– are not active in supporting community projects
This is the situation at the time of writing:
- 10 people joined a new group, lead by savetheworld;
- 14 former Elite delegates started their own individual pool: dakini (25% shared), seven (25% shared), eastwind_ja, hua, jiandan, kc, liskroad, loveforever, luiz, luxiang7890, phinx, will, xujian, yuandian. This is a deduction extrapolated from blockchain payments, as only Dakini and Seven provided info about sharing percentage;
- about 22-25 former Elite delegates did not write in Discord nor released statements or made payments. The community is focusing on this group, defining them as “ghosts“
Lisk Magazine will keep the community posted about next updates, this story is just at the beginning.