Zeus Capital Releases Statement About The Authenticity Of Chainlink FUD Report

Press statement: This article from July 2020 reports on a public statement by Zeus Capital Ltd, published on Twitter on 20 July 2020. The statements and quotes come from the company and from the report discussed.

Zeus Capital released a statement about the authenticity of the circulating Chainlink FUD report on July 20, confirming that it is fraudulent and it wasn’t released by the company. The press release also confirmed that the name of the actual company is “Zeus Capital Ltd” and not “Zeus Capital LLP”, as reported. The dubious report claiming to be the “Chainlink fact sheet” criticized the project extensively and recommended people to short LINK token, below $0.07.

The 56 page long fraudulent report labeled the Chainlink project as marketing enhanced hype, grossly overstating capabilities, not working, not needed and that it has broken tokenomics. Surprisingly, the Tweeter account used for the propaganda (@ZeusCapitalLLP), which has “Here to shed light over fraudulent, corrupt and collusive practices on the markets” as the title of the account, mostly only posted tweets against the Chainlink project, further confirming the “Fear, Uncertainty and Doubt (FUD)” spreading agenda of the group.

It has come to our attention that a company called Zeus Capital LLP has published a research report relating to crypto currency & Chainlink.
For the avoidance of doubt we would like to state that Zeus Capital Ltd has not produced research on this subject. https://t.co/RG6WvywYUS— Zeus Capital (@Zeus_Capital) July 20, 2020

What Was Contained In the Chainlink FUD Report?

The report in question titled “The Chainlink Fraud Exposed” was posted on Twitter account @ZeusCapitalLLP on July 15 and was quickly picked up by crypto media outlets. The initial reaction from the crypto media was surprise and curiosity, which quickly turned into skepticism, since the report’s authenticity couldn’t be ascertained and the previously unheard of “new source” emerged only to criticize a single crypto project. The report alleges that Chainlink is the crypto equivalent of financial services provider and payment processor Wirecard, which went defunct after a massive, sophisticated and elaborate fraud.

However, the elaborate report fails to present convincing evidence/facts, for the far fetched and unsubstantiated claims made in the report, instead relying on word of mouth, guesswork, shoddy research and random uncredible sources to prove its arguments. It also bases many of his arguments on factors and events, which can’t directly be attributed to Chainlink and remain outside the control of the project or its team, such as the Mar 13 crypto crash, which caused massive liquidations and sharp price falls for all crypto-assets. The team is also criticized for selling tokens and generating money from investors, a common legitimate practice for raising funds to develop and and advance the project.

In reality, Chainlink is a fully functional Ethereum mainnet based crypto project, the first of its kind, which aims to solve the oracle problem for smart contracts and is currently the industry’s standard for the decentralized oracle service. A vital component of the Decentralized Finance (DeFi), it has partnerships with 200+major companies and teams, which speaks volumes about legitimacy of the project. The Chainlink data oracles are integrated with nearly all Ethereum based DeFi projects. The platform’s native LINK token has perform admirably, year till date, despite the economic crisis and the stagnant prices of most top crypto-assets. Its value accrual is secured by the fact the node operators must be paid in LINK and that most crypto based services need reliable/secure data for their smart contracts, for effective and stable operation. The Chainlink project is at the forefront of decentralized data oracle innovation and constantly introduces new data pairs/services to advance the field.

About Chainlink

Chainlink is a decentralized data oracles service, which connects smart contracts to off-chain real world events information. The oracles are secure, resistant to manipulation and thus reliable. The main product Chainlink price reference contracts consists of 30 DeFi price feeds, on the Ethereum network, each consisting of 7 to 21 secure, independent Sybil resistant nodes, sourcing data from a high quality aggregator.