Breakout Gaming ICO Concludes

The Breakout Gaming Initial Coin Offerring has concluded with a total of 387.65244039 BTC being raised. The funds have since moved from 33Bghpzm4pgbSRgnqS63ZBf6dnSjbGc6Sf, having been split up and sent to various addresses. Following the sale, Breakout Gaming's CEO Billy Chung and head of marketing Gian Perroni spoke to CoinDesk1 and used it as an opportunity to misrepresent the facts surrounding the sale/scam.

Breakout Gaming, which launched the ICO for BRO on the 21st of October, initially hoped to raise between 7,000 to 15,000 BTC with a minimum of 1,000 BTC required for the project to be viable. The sale was structured in such a way to encourage people to purchase the coin sooner rather than later. Having raised only 80.71 BTC, Breakout Gaming pulled a bait and switch by changing the design of the BRO coin after the ICO launch despite investors paying for something else. Breakout Gaming initially sort comment from the Bitcoin Talk community regarding the suggested changes but that post was deleted2, replaced with a revision of suggested changes.

Soon after the changes, Breakout Gaming began including a disclaimer in all their posts made on the Bitcoin Talk forums. The disclaimer states:

Disclaimer: Breakout Coin and Breakout Gaming are two separate services/entities. Breakout Coin is offering BRO coins for btc. By participating in this "coin sale," you are not purchasing interest in Breakout Gaming. You are solely participating in the "coin sale" of a crypto coin that happens to have a gaming company that supports the BRO coin by having their chips denominated in the BRO crypto coin.

As specified in the first paragraph in the Terms and Conditions:

WARNING: Do not purchase BRO if you are not an expert in crypto tokens or currency and blockchain technology.

This coin sale is not an offer of investment or securities in any business, venture, or company, or in any form of gaming operations or activity; purchase of BRO does not entitle the buyer to any interest in any profits or revenue of any common enterprise arising from the activities of others.

With the last days of the ICO approaching and Breaking Gaming having raised nowhere near the 1000 BTC minimum, they pulled yet another bait and switch on investors by offering new investors or people they saw as "on the fence" a bonus amount of BRO coin if they purchased it on the last day of the ICO.

Breakout Gaming updated their original post with the change as if to give one the impression the bonus amount was known from the start but that is not the case. The change is a direct contradiction to how the sale was initially structured and pitched to early investors. Bitcoin Talk users, upset at yet again falling for a scam, questioned the motives behind the change to which Breakout Gaming responded:

Hello everyone, we did not expect such a negative response to an incentive that we thought would spark more interest. We can adjust the changes if the community feels strong about it.

There was not much participation after the level dropped below 5000. We wanted to offer an incentive for some people that may have been sitting on the fence. We can cancel the bonus if the existing community that have been with us feels strongly about this.

The change was meant to be a nice gesture, not in any way was it done out of greed. We are already way below our targeted range. The coins was going to be sold "privately" or through the coin sale. We thought it would be cool to offer it to you guys and give a nice incentive before we closed out the first phase.

The change is NOT necessary and if you want it to remain at this level, then we have no problem with it. We do understand your point of view.

According to the CoinDesk article, Breakout Gaming claim they consulted with the Bitcoin Talk community and then made the changes when the facts are Breakout Gaming made the unannounced changes, claimed it was a nice gesture that then could be changed if Bitcoin Talk users really wanted it to be done but never bothered to do so because hey, we've got your bitcoin anyway so why bother.

At this point, Breakout Gaming have once again revised the stated goal amount from 1000 BTC to 700 BTC, claiming their intention to take the remaining BRO coins and sell them to private investors.

All Qntra can say to that is – good luck bro!

  1. Despite Qntra's mention, CoinDesk only linked to us via a Google cache page. LOL 

  2. A copy remains available via Qntra. 

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