Blockchain DEXs Onchain and Camelot part ways over IFO spat

In a dispute that originated on February 22, decentralized exchanges (DEXs) Onchain Trade and Camelot terminated an initial fair offering (IFO) agreement from the former, with both firms alleging that the counterparty acted in bad faith. An IFO, while still an emerging concept, typically involves promises made by developers to not engage with VCs, not whitelist, not pre-sell, and the vast majority of revenue goes to token holders, plus of a traditional initial coin offering.

According to Onchain, the developers began negotiations with Camelot for an IFO, for which the latter charged a 2% fee, and both parties agreed on the amount. Furthermore, Camelot demanded that Onchain sell tokens exclusively on its platform, which Onchain also agreed to. However, at this point, Onchain alleged that Camelot became “more demanding and trying to start another round of negotiation; We started to feel uncomfortable working with Camelot and decided to end the deal with them entirely."

in a follow up cheep in Chinese, Onchain, which declared its core developers “They come from China,” he explained that the root cause of the disagreement was the “no limit” token sale allegedly demanded by Camelot. “There are a lot of opportunities in the bear market; retail investors simply do not have the risk management and valuation capabilities to evaluate projects,” the Onchain developers wrote.

In response, Camelot said that Onchain statements they were “false accusations”. According to Camelot's version of the story, their IFO sales model was "never mentioned as a problem with their team." [Onchain].”

“This low number [2% fee] which never changed on our end, was set well below the market for such a release due to a desire to support the ecosystem and ease the transition of a protocol from zksync.”

As for exclusivity, Camelot explained than “do a multiple IDO [IFO] model is not feasible, and the same was clearly communicated, and on multiple occasions the OCT team confirmed their understanding.” The firm then accused Onchain leadership of “acting in bad faith or simply having no experience” and “denying after the fact” in a series of direct messages, which Camelot says led to the cancellation of the deal.

“We will work hard to try to make all projects successful, but some will and some won't. But in the end, those who don't understand that your words matter will never have a seat at the Round Table."

to which chain answered, "Trick us into canceling the deal with other partners and start negotiating over and over again thinking we can't live without you, calling that good faith." Since then, Onchain has decided to move his IFO directly to his website. At press time, Cointelegraph was unable to independently confirm the allegations made by either party.

"The Onchain Trade team has so little experience in stealing that they canceled the opportunity to do it head to head." Trick us into canceling the deal with other partners and start haggling thinking we can't live without you, calling that good faith. https://t.co/ibKLctNdht

— AT | OnchainTrade (@OnchainTrade) February 23, 2023