As usual we shall post the transcription from the AMA this past Thursday (17th August) here. Before that, we will quickly summarize where we are with the PKR migration and damage control after the Poly Network hack.
Firstly, Poly Network have still been fully unresponsive to Polker on all official channels. Take that as you will.
The decision was made to go with a claim portal rather than an airdrop for a multitude of reasons. One being the difficulty to discern smart contract addresses from wallet addresses holding PKR — we want to ensure that the tokens are not going to places which will be recieving manually (ie. Bittrex deposit “addresses” — which are smart contracts). Exchanges will receive liquidity manually to distribute.
The second is to remove the lost tokens from circulating supply. Most people know that an approximate 20–25% of all circulating BTC is no longer accessible. With PKR we have no idea if it’s 1% or 50%. We do know it’s a percentage though. The claim process will reduce the circulating supply — which is good for you!
Currently the token has been audited, and the claim token contract is with the auditors. Both audit reports will be available as a PDF for everyone on the same page as the the claim token portal.
The AMA Recap!
Hi, everyone and welcome to our weekly AMA on X Spaces. I’m still going to refer to this as Twitter Spaces for a while until that becomes more normal. I do apologize for not being able to make it here on Monday. I could have joined but the internet connection was not stable and I did want to ensure that the recording worked as I know that we had a lot of listeners last week. I wanted to make sure that it was clear for everyone, so we moved it to today. I apologize for that. We haven’t gotten a huge amount of questions. However, I know that there is one big question in the air right now from everyone, so I will do my utmost to answer that for you guys. So just give it a few minutes to allow people to join and then I will answer the questions that have come through on social media for you all. If anyone wants to ask anything live as well, I’ll do my best to give you an answer here and now. I can see that a few people have jumped on live.
We only have three questions, and I’ll say that the second two that have come through can be answered under one.
So we’ll answer the first question which has come through from Burnt End probably on Telegram and those asking basically why we have decided to go with a claim process and also stating that they believe that that process is unnecessary.
I do understand that. I have seen this coming up a lot on Telegram and on Discord, people asking the same question. So I do want to make sure that there is clarity on the reasoning and the situation on why we’ve chosen that. There are two main reasons, but there’s a variety of purposes. The first is a benefit for both users and us as a company. So when we are taking a snapshot of the blockchain,that’s both on Ethereum and on Binance Smart chain, it’s impossible for the snapshot to differentiate whether the tokens are in a wallet address or whether they are in a smart contract. So obviously, we have PKR in a liquidity pool that’s sat on the exchanges like Bittrex. They don’t use wallet deposits. They use smart contracts and the staking pool that’s pulling up a smart contract. We know that the smart contract is our own. However, for the rest, we cannot tell our smart contracts from a snapshot and address. A smart contract address looks like an address. Unless you put each one individually for each scan we cannot tell the difference. There’s not an independent checkout between a smart contract address format and a wallet address format. However, you cannot claim from a smart contract. A smart contract will not have the claim ability. Therefore we might mitigate the risks of anyone via the staking pool by ending up with this way. We want to ensure that that is done through the wallet on a claiming system so we don’t want people ending up with twice the amount. We also don’t want to end up with exchange wallets, which we won’t be able to get. Bittrex cannot provide us with the list of users. Each user gets an individual smart contract to send their token to and it is an Ethereum smart contract. Obviously they can’t provide us with them. That’s against data privacy. The other exchanges are using hot wallets, so no problem, they can provide them. That’s easy. However, we cannot get access and can’t ask for access to the users’ individual smart contract deposit addresses from Bittrex. So the solution that actually mitigates the entire thing here is to run on a claim. So we have the wallet balances, the staking pool balances on Ethereum, Binance smart chain — all you have to do is connect your wallet. There’s no approval risk here. Connect the wallet and see how many tokens you are eligible to claim. We will make sure this link is run for us. The token contract and the claiming contract are going to be audited. If the tokens being shown do not match your balance, then it is not from us. Just please only follow the link from our official media and it’s going to be a claim process. There will be a small gas charge. We are using Polygon PoS. This is going to be less than a cent maximum, a couple of cents if the chain is very busy, which right now it’s not. The fees right now are less than a fifth of a cent. There are free faucets online still for Matic. If you search Matic faucet, you can claim free gas fees so you don’t have to have matic in your wallet. You can get it for free. You will see that the number of PKR will equal the number that you have. So even if you had 1000 on Ethereum and 2000 on Binance Smart chain, it will read your wallet, it will know you are eligible for 3000 in total. Click claim — simple process. New PKR will be credited to your address. So there’s the the first reason — we have the issue of being unable to identify exactly where the PKR is — if it’s in a wallet or a smart contract. The second benefit comes here is that, obviously, we have between the two networks, a large number of holders. Some of these we know we have, some of this will have been lost, just like some of the Bitcoin is lost forever. Some of the PKR is lost forever — people will have lost their keys, people will have forgotten wallets, people will have sent them to hardware wallets and then forgot the seed phrase and are unable to get back in. People would have sent them to the smart contracts. People would have just forgotten about them. So this will also reduce circulating supply, right? This is the second benefit and this is where it benefits you as our actual investors, as the people who have been supporting us the whole time. This is where the benefit comes in mainly for you is — I don’t know whether we’re going to get 20% claimed or we’re going to get 95% claimed. What I can tell you is that we’re not going to end up with 100%. I’ve known people message me that I’ve sent them two smart contracts like the token contract for like Binance or various things like that. They cannot be retrieved so these will no longer be in circulation. So we’ll be able to actually see a more realistic circulating supply number and you’ll be able to see that as well. So the second reason is quite important to us and definitely more important for a user. It definitely has a much bigger benefit from the first point and is definitely much more practical from our standpoint. And this is more practical from your standpoint. It may be only 60% that is claimed, maybe 40% is lost. It’s impossible for us to tell until we do this, but either way, it will reduce the circulating supply. So there’s that instant benefit from that one. I hope everyone can see the thinking and logic that has gone in behind this and the reasoning why we’re doing it. It’s not just being like, “Oh, I’m out of the hat, let’s go for this method.” Here’s a standard way to upgrade a contract, to be honest. The airdrop idea was nice. It was very spontaneous, however, I hadn’t considered the smart contract dropping. I mean you can go to the smart contract for the token itself — people have sent tokens there. So this is just one of many reasons to avoid the airdrop going and I hope that everyone does understand. If there are follow up questions, I’ll be happy to answer them.
There are two follow-up questions, which are by Marcellinov and Lev.
Are the unclaimed tokens going to be burnt after six months? And why can’t you give us unlimited time to claim the tokens?
No, they won’t be burned after six months. I mean, the reason we’re not going to give unlimited time is, just like any website, we’re not just going to leave it forever, right? Everything has an amount of time. When you take a coin out of circulation, there’s so much time you have left to use it. After that, it is no longer useful. That is the end. The claim will be live on the UI. The UI will be there on the website, but at a minimum of six months. It maybe it is up longer, maybe it’s over a year. We know we’re not going to have it on the website forever. You know it’s not something that’s going to be there in three years. So if for any reason I don’t know, someone wakes up from a coma in two years, and is like, “Oh! I missed that” — the smart contract is still going to be live. It’s not going to be impossible to exchange them — it’s just not going to be on the front page of our website on a link. The smart contract will still be there. It will still do exactly what it’s going to be doing when you can see it. They will just not be a user interface for you guys. So you’d have to use etherscan and go through it manually that way. We are not going to be terminating the contract or anything like that. There’ll be no need for us to do that so it will continue to work. It just won’t be as accessible or obvious, and that is why we are not going to burn them after six months. There may be people who don’t get them. The only reason we’re not just going to have it up for unlimited time is that once it’s sorted, six months is a reasonable amount of time. If people haven’t seen it in that amount of time, chances are they’re not going to see it. If people really do see it after six months and contact us, the smart contract is still there. It’s just not going to be advertised for any much longer. We have other things that we’re going to focus on. We want to sort this out, sort this out properly and make sure that we move on to the next thing. I do appreciate the idea of burning the tokens up for six months or something is good. However, these are people’s tokens, right? Just because they haven’t claimed them doesn’t mean they won’t come back to us. So like I said, they will still be accessible within six months or maybe one year that we will have the UI migrate claim on the website. After that, that will go. It does not mean that you will not be able to claim them later. The smart contract to claim them will still be there.
When it comes to the rest of the tokens, this still needs discussion. Obviously we need to sort out the liquidity back to Bittrex and Bitmart and then on to Uniswap for Polygon and move forward that way. And after that, there are a few discussions that are still in process of how we’re going to look at things going forward. But everything is with the community in mind. Please don’t forget that. I understand that there is a bit of confusion and frustration and I can see where it’s coming from. Please don’t get me wrong but please try to understand the reason why we’re trying to do it, that we’re trying to go this way isn’t just a sort of whim at the moment. This has been thought through. Right now, we just got the audit back on the token — all good and waiting for the audit back on the claiming contract and then we’ll be able to proceed with things. So everything is on track. So timewise, I don’t see there being any delays with this.
If anyone does have any other questions, please feel free to ask in the AMAs. You can ask on, on Telegram, on Twitter, on Discord. I see a couple of questions have actually just come through on the Twitter stream. Stream, I guess, I should call it. Has this delayed the roadmap?
No — I’ve checked. If you look, the Epic Games listing is all going ahead. It has been pushed back slightly but mainly just to the end of September to ensure that we get this claim contract out. It may still come earlier, but no, the roadmap is still on track. The game’s looking good now — I played it on Android so we are looking good on that one. It’s quite hopeful.
What can I say that will calm you down and make you believe that this is still a good project?
Look, there’s nothing I can say that will make you believe. You either believe or you don’t. We’ve stayed here as a company through the bull market, through the bear market now for, I don’t know, let’s say at least 24 months. It has not been the best of times and we’ve not given up for any of that — we’ve continued developing, we’ve continued putting out updates, we’ve continued communication. We continue being transparent and then despite the hype of the Poly Network right now, we’re still continuing to push through. I don’t think there is anything more that I could say “look, we’re a legitimate public project. You can trust us.” If you don’t believe it at this point, you’re never going to believe it. I hope you do, and I honestly mean that. I understand this is a difficult time and it’s difficult for all of us, especially everyone working here. And you guys are our community, but we are doing the best we can to move through it just like we have all the other times and we will get there. So here’s to brighter times ahead. We will keep you updated — ask on telegram, ask on discord, ask on Twitter. There’s always someone willing to answer. I’m always there to answer. From next week again, we’ll move the AMA back to Mondays. That will continue at 11 AM Eastern/ 3 PM UTC on Monday. Any questions? Pop them on social media, send them through as a DM and I’ll get the best ones for you. Otherwise, I will speak to you guys. We’ll make sure that there is a transcription of this up on Medium by tomorrow. Have a good weekend guys, and catch you again on Monday.