Three truths are: FCoin cold start has been successful, FTs will be completely mined out in the future which is considered good news and those who followed our Trans-fee mining mechanism will eventually die.
One plan is to return FCoin to the community within 3 months.
One trump card is that the Trans-fee mining is only a phenomenon in the initial stage, and transparency and being community-oriented are the essence behind it. The governance and regulation of transparency and community will be the biggest trump card for FCoin in the future.
First truth - FCoin cold start has been successful
Based on the model of innovative community-based + token economy, FCoin has developed from scratch. In fact, the development speed of FCoin has greatly exceeded my original planning, so we have to face a series of problems brought about by rapid development. However, no matter how many difficulties FCoin faces, how many malicious attacks we have experienced, the current fact is that FCoin has cold-started successfully. And with the gradual improvement of the mechanism, FCoin is embarking on a path of steady development. Here, by the way, I would like to talk about an issue regarding the mechanism that everyone is generally concerned about:
Is there any problem with the FT's issuance mechanism? When I designed this mechanism, it was more from the beginning and the result, and the process was hard to predict. If the facts seen from the current situation are reversed, the FT's issuance mechanism will work well in the bull market, but will be under much pressure in the bear market. Regarding the price of FT, what I want to say is that in a bull market, even a token that rises a hundred times will still go through a lot of pressure, let alone in a bear market. However, based on FT's current P/E ratio (the dynamic P/E ratio is less than 1 for a long time), I believe that its value will become more and more recognized as time goes by. In particular, the value of FT will only become more prominent when there are a large number of “garbage coins” with high valuations that have neither high-quality products nor profitability.
In addition, regarding the trading volume, I want to say that although we have included the FT's issuance mechanism (Trans-fee mining), the transaction volume has become incredibly huge. Later, with the adjustment of the mechanism, the exit of marketing tools and etc, there will be some fluctuations in the trading volume, but no exchange can be more realistic than FCoin's trading volume, because we will return 80% of the revenue to our community members. In this regard, as the industry matures, its importance will gradually emerge.
Second truth - all the FTs will completely be mined out in the future which is considered good news
Regarding this issue, it actually contains a lot of misunderstandings of FCoin’s mechanism. I have said multiple times in a media Q& A session that "Trans-fee mining” is only the initial mechanism and a tool of FT, not the purpose of FCoin. FCoin's only goal is to become an autonomous, community-based, and transparent trading platform. Therefore, after the FT circulation reached the upper limit of 10 billion, it won’t be a problem but rather a major benefit, because the arrival of this day means that FCoin has completed the form of “Trans-fee mining” by the release of FT and community transformation. For the mechanism design of FT, the release of FT is only the initial behavior, while 80% of income distribution and true community governance are the long-term value of FT.
Third truth - those who followed our Trans-fee mining mechanism will eventually die.
After the rise of FCoin, other platforms start to follow. There are emerging platforms with strong imitation capabilities and some of our competitors do the same as well. What I want to say is that the operation of “Trans-fee mining” is extremely difficult, and the requirements for the original intention in the interest of the public are extremely high. Let's talk about the difficulty of operation. This is a manifestation of comprehensive capabilities, including system design, technical basis, iteration speed, security mechanism and other issues, each of which is extremely demanding. Regarding the original intention, this will be a problem that everyone ignores, and it will be the core reason why all followers will fail. Let me first talk about my conclusion: those who conduct Trans-fee mining mode, if the starting point is just out of personal interest rather than public heart, these platforms won’t survive. This judgment is based on the following two reasons: 1. If it is not out of public heart, all decisions will be deformed, and will deviate further away from the essence of community; 2. If it is not out of public heart, it will not be able to compete with the trading platform that comes from the original intentions in the interest of the public.
A plan, is to return FCoin to the community within 3 months
As a matter of fact, many people have asked me about my goal as the founder of FCoin. Is my goal to see my name on Forbes? Or how much I want to earn? I can tell you that FCoin is not a company and my goal is not money. My only goal and plan is to return FCoin to the community, and I have a clear plan and timeline to realize it. I have been under tremendous pressure due to the current price fluctuation of the FT itself, the listing process and motivation behind the decisions, along with the current market environment. What I want to say is that the last wave of ICO has created an unprecedented bubble for the crypto currency industry, and now the bubble burst. Such story has been repeated countless times in history.
One trump card : Transparency , community governance and regulation will be the biggest trump card for FCoin in the future.
Many people have seen the success of “Trans-fee mining”, but they don’t understand the purpose of this mechanism. What I want to tell you is that the real purpose of this mechanism is to complete the release of FT. This is just the first step for the overall planning. The essence behind, and the biggest trump card in the future is not trading mining, but transparency and community-based governance and regulation. The power of transparency has begun to show in the public chain system represented by Bitcoin. However, the entire industry is still at a very early stage, coupled with the initial characteristics and high risk of financial industry, the majority of participants only focus on short-term price increases but not on the transparency of the community during the climax of the industry. It is impossible for any industry to maintain by just bubbles, but will eventually return to the essence of economic and value creation. Therefore, I hope everyone could read my thoughts today, understand FCoin more, actively participate in this epoch-making change and eventually achieve a leap-forward development of the industry.
Finally, what I want to say is that Rome was not built in a day. I have received lots of suggestions and criticisms recently. But many people have ignored that FCoin and FT have only been launched for a little over just two months. If it is a great thing, now it is a great thing still in its infant stage. I hope everyone can have a bit more patience rather than holding a mentality of "A baby is also a human being, if he cannot speak now, then it must be a disease”. If an something great can be achieved in just two months, it may not be great after all. I hope that FCoin will be great, with or without me, in the future. Thank you all!
FCoin Zhang Jian
July 30, 2018