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Pulse Chain hosts “biggest airdrop ever”

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After just one week, measured by the TVL, it is the eighth largest blockchain in the space. It was able to collect around 430 million US dollars in just a few days. And yet it is not mentioned in almost any crypto medium: Pulse Chain. It is the new project of the controversial crypto entrepreneur Richard Heart, who already puzzled critics with the HEX token. Curious numbers at the start of the project and a suspicious lock-up mechanism suggest that pulse chain not everything is going right. What’s it all about?

What is Pulse Chain?

Pulsechain is a layer 1 blockchain that supports smart contracts. Unlike Ethereum and Co., it is based on a new “Proof-of-Stakes-Authority” consensus mechanism in which the currently 33 designated validators rotate to confirm transactions. The start of the Pulsechain has been planned since 2021. At that time, Richard Heart promised to increase Ethereum’s scalability with Pulse. To achieve this, the project has copied the entire Ethereum blockchain and transferred it to an optimized chain where low fees and fast execution of transactions are possible.

Pulsechain is thus effectively a complete hard fork of Ethereum, as is ETHPoW, which duplicated the entire blockchain for the Ethereum merge. All assets that users hold on Ethereum now also exist on Pulsechain. This technically makes Pulse the largest airdrop in crypto space to date. However, that doesn’t mean that all tokens on Pulse are equally valuable. Only when developers and projects continue their activities on Pulse will the tokens reach the same value there as on the Ethereum mainchain. So far, however, there is not much to see. Only three protocols ensure the current high volume on Pulse. Almost all of this is from the DEX”PulseX’, which got much of its capital through a questionable lock-up process. The remaining TVL is shared by “DynastySwap” at 11,560 USD and “ComponentSwap” at a curious 39 USD. The fact that there is no white or lite paper for Pulsechain and the shady past of its founder Richard Heart also cast doubt on the seriousness of the project.

Questionable offering

In order to get the Pulsechain (PLS) coin in addition to the airdrop, users were able to join a process called “Sacrificing” a good two years ago. For this they “sacrificed” their former Ethereum tokens in order to secure a future share in PLS in return. This is a kind of ICO. For example, investors initially received 10,000 PLS for each ETH invested. But at today’s price of PLS, which is only a fraction of a cent, the investment probably didn’t pay off.

Already with HEX, Heart promised its investors a high return by staking tokens. There is no recognizable use case. Instead, the project appears to be drawing on the image of its charismatic founder. This is surrounded by stories of scams and crooked deals. These allegedly often included spam emails, giving Heart its reputation as the “Spam Kings” got.

Skeptics therefore warn of HEX and the new Pulsechain. Bitcoiner Eric Wall in particular is convinced that Pulsechain is a scam, as he found in a recent one interview explained. According to him, up to 1.4 billion US dollars flowed directly to the controversial founder through the sacrifice. The community, on the other hand, stands doggedly behind its leader. They believe that HEX and Pulsechain will increase the interoperability and scalability of Ethereum and will dominate the alternative layer 1 chains sector. In any case, we urge caution.

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All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.