The other day, the BSC token issuance platform FOUR released its latest IDO - SKYAI, which raised over 83,000 BNB by today, equivalent to about 50 million USD. What is baffling is that SKYAI is not a hot project at all; it has a very luxurious investment lineup and is purely a product with no identity. At the beginning of the IDO, apart from a Twitter account that was just registered 6 days ago, there is not even a website. With such a product, it can actually raise so much BNB, which really opened the handsome guy's eyes.

SKYAI's Ending Prediction

SKYAI's sudden explosion has shocked many crypto users. Currently, apart from the 83,000 BNB that can be queried on-chain, nothing else is known - tokenomics, distribution methods, or hard cap limits - which gives the project team a lot of room to play with.

The handsome guy imagines the following endings

NO.1 - Grand opening and explosive growth (basically unrealistic)

The project team suddenly has a conscience, announces a low hard cap, and refunds the excess BNB to users. The token distribution method is also very reasonable: 70% airdropped to users, 20% added to liquidity, and 10% reserved and locked by the official team, making all users feel that the project team has a vision, the future is promising, activating market sentiment, stimulating user purchasing desire, allowing early IDO users to have good returns and be willing to hold, forming a positive consensus and becoming a monitoring force for future ecological development.

NO.2 - Directly running away (I can understand it, of course, a softer approach could be taken)

A product with no identity raised so much BNB, operating only through a Twitter account. To be honest, even if it runs away, I wouldn't blame the project team; after all, the stakes are high, and if I get scammed, I can accept it.

NO.3 - Soft running away (higher probability)

This is the method that the handsome guy thinks has a high probability. If the project team does not announce a hard cap, then the 83,000 BNB raised can be fully distributed. The project team reserves some tokens for operations (of course, they will announce a lock-up), then add some liquidity (like 10,000), and the remaining BNB can be said to be used for price manipulation later. During the opening phase, they can symbolically increase the price to allow early users to earn some profit. Later, they can extract BNB through a left hand to right hand approach. In short, the project team will definitely make a lot of money, while users' lives will be left to fate.

Iron law of the crypto world - what is hot must die.

Raising so much BNB, the opening market value will definitely not be too low, and the liquidity pool will not be too small. It is indeed difficult to achieve high levels, and the current market environment is severely PVP. There are not many true diamond hands, and the probability of high multiples is indeed low. Although the handsome guy also jumped in without thinking, he does not have high expectations for the project. If it were only a few thousand BNB, there would still be hope, but with 83,000 BNB, the hope is indeed not great.

Past experiences have also verified that what is hot must die. Many projects that raised too much funding early on usually do not have good next times. Does anyone still remember the last BABY that raised a lot of ETH? It opened at a terrible state, similar to a stablecoin, where the project team was extracting liquidity, and users had nothing to do with it.

Written at the end, insights gained from this

The current crypto market seems very depressed, but through SKYAI, it can be seen that users are not without funds, nor have they lost interest in the market; it's just that there are no good new products emerging. There is no product that can achieve user consensus. A product with no identity has attracted so many users. If a good product appears, the market will still have strong purchasing power.

The environment at the beginning of this year is indeed poor, users are very confused and don't know where to play. This may also be the reason why SKYAI was able to raise so much BNB. The market won't stay depressed forever; new products will continue to emerge, keeping market attention. There will always be new ecosystems that shine. At that time, a new king will emerge, and I hope we can all be on board.