The previous Meta workers created the Aptos blockchain network, which has already gone mainnet, however, its claims regarding tokenomics and TPS have drawn the ire of the cryptocurrency world. The APT price fell by 50% just hours after it began trading on significant exchanges.
After four years of development from the team behind Facebook’s failed Diem crypto project, Aptos has made it to mainnet.
Aptos is the latest current in a long line of layer-1 blockchain networks that have been launched and assert to be a “killer” of those presently in use.
As CTO Avery Ching observed when the project was first released earlier this year,
“present blockchains are just not as dependable as traditional financial rails, we’ve witnessed issues of downtime and outages that last for hours.”
Aptos transaction teething troubles
Aptos uses a programming language called Move, which has been natively integrated for safe asset management as well as fast and secure transaction execution.
The team hopes to lure developers away from current networks and aims to support a wide range of web3 applications. “We are proudly supporting a wide variety of use cases across NFT, gaming, commerce, social networks, and media & entertainment,” they stated in an announcement on Oct. 18.
Aptos claims its transactions per second (TPS) reach 130,000. However, engineers have reported that it is nowhere near that and not even close to that of the Bitcoin network.
The software engineer said that the current network is not useable, adding:
“Aptos knows something is wrong. Between genesis and 1:30 PM PT, the Aptos discord was disabled – users couldn’t chat or ask any questions.”
Major exchange (investor) support despite tokenomics
Major exchanges, including Coinbase, Binance, and FTX (all of which were Aptos investors), have been fast to list the APT token.
The move comes despite it having no transparent tokenomics or emissions schedule, but that doesn’t appear to be of concern to those heavily invested in the project.
It was pointed out that a prerequisite to listing should be that users have the basic information on what they’re buying:
The engineer that investigated the low TPS also looked into the tokenomics revealing that as much as 80% of the APT supply is owned and controlled by the team and investors.
“The point is that nearly the entire token supply is going to private parties, there was never a public sale or another method where users could have earned tokens.”
The sentiment was shared by other prominent members of the crypto community:
APT price pump and dump
As expected, token prices surged when they hit exchanges a few hours ago, topping out at $13.73 during the morning of Oct. 19, according to CoinGecko.
However, in typical fashion and as predicted by market analysts, APT has already dumped almost 50% to $7.30 at the time of press. This could be a mass offload by VCs and investors, with retail getting dumped on yet again.