The proposition of SuperDollar is simple: start a token sale to fund the building of an app store, and a system for distributed computing. On the one side, app creators would build cheaper solutions to computation-heavy problems such as 3D rendering, weather calculations, other complex models or signal interpretation.
Some users could sell spare computing power to help make those calculations. This is not a new idea, and has existed more than a decade back, as part of the Search for Extra-Terrestrial Intelligence (SETI) program. In fact, before mining took over, there were several scientific programs that harnessed computing power.
But in the case of SuperDollar, promising to find the cure for cancer and drive science forward, for the low price of 0.05 ETH, raises some red flags.
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The Origins of SuperDollar
The SuperDollar ICO project claims the idea appeared in late 2017, when the ICO bandwagon was already carrying a crowd. The ICO launched around February 14, but the project claims to have attracted $750,000 in private financing.
Strangely, the SuperDollar ICO has a very small presence in the crypto space. And even if some investors managed to pour in funds, the Ethereum address given for the token event is currently empty. It is quite strange that no one has attempted to buy any of the tokens.
How SuperDollar Works
SuperDollar is currently in the Ethereum collection phase, so it seems for now, no one has been scammed. In fact, no one seems to want to add even the minimum of 0.05 ETH to participate into the token sale.
The message of the ICO seems quite meaningful at first. The project has a higher purpose:
The goal of the foundation is to advance medical sciences and save the environment by taking all the resources being wasted today on useless hash calculations around the world, putting them to good use and at the same time provide an open ecosystem allowing anyone to build, publish, fund or mine apps.
However, in 2018, nobody actually uses their CPU for mining, except in very rare cases. Hash calculations are usually done by either powerful GPUs, or specialized machines which cannot work on other types of calculations. And it's highly improbable that miners abandon profitable coins for a brand-new project. Hashing calculations are actually not “worthless”, they get rewarded with valuable coins, and also serve to secure the blockchain against attacks and hacking.
The Public Profile of SuperDollar
SuperDollar is strange, in that it only shares its ICO details on Facebook, Twitter and Instagram. There is no other outreach for the project. Instagram is a strange choice for a science-minded project. What raises a red flag is that other scam projects have used Instagram to make a grab at a different online demographic, while the crypto community relies more on Twitter, as well as chats.
— SuperDollar (@superdollar_off) February 6, 2018
Usually, ICOs will also have a presence on the Bitcointalk forums, but SuperDollar has avoided that discussion hub, which has a host of very knowledgeable and critical users.
Why SuperDollar is (most probably) a Scam
At the moment, SuperDollar claims to have sold 8% of the tokens intended for the ICO – yet the wallet addresses given are either empty, or in one case containing a balance of 0.25 ETH.
The smart contract for the ICO has been public and open for scrutiny. It is up to experts to see any troubles, beyond the case where payments under 0.05 ETH are not returned but taken in as gas fees. But this is about user oversight, and cannot be considered a scam.
Yet the rest of the project looks extremely shady. The biggest risk for ICOs not listed on the best-visited platforms, and not vetted by the community, is an exit scam. However, the haul from those exit scams does not even need to be that big: the Prodeum ICO went away with just $11.
Scams will usually have a grain of truth. In 2018, there are plenty of ICOs with big promises, and some do indeed pull an exit scam. Yet very few actually aim for almost total obscurity in doing this.
Creating an ICO in 2018, at least when it comes to the technical side, is rather straightforward. And SuperDollar has covered almost all the basics. But in 2018, buyers are becoming more skeptical, as well as regulators.
Why It's Best Avoid SuperDollar
SuperDollar has all the signs of a scam ICO. There is hardly a mention of a team – not even an anonymous one! There's no way to tell who is behind the project – it could be a one-man show with an anonymously registered domain.
Then, there is the issue of scarce information – the project has yet to produce a white paper. For a startup promising to work with cutting-edge science institutions and provide reliable computing for applications, SuperDollar is quite relaxed about presenting its ideas and technological capabilities. The roadmap is also very basic.
As for the distribution of proceeds, about 50% would go toward the development of a product – meaning, possibly, paying the team of developers. Since there is no known team, the project just has an excuse to lock up half the Ethereum gathered.
Even more strangely, days after the ICO, not a single ETH coin has landed on the address provided. Given that there is a general hunger for ICOs, it is strange that SuperDollar would remain on the sidelines.
The SuperDollar project may, in fact, be an abandoned ICO, and not quite a scam. It seems like a project left to fizzle out, instead of trying to gather funds and pull an exit scam. As such, it is best not to waste valuable ETH tokens on acquiring the new asset. At the beginning of 2018, there is a new approach to token sales. Most projects aim to secure funding in private pre-sales, and even do away with the crowd sale. Instead, projects perform an airdrop of free tokens serving both for distribution and a form of advertising.
The last tweet from the project is on February 6, and there is not even an update for when the crowd sale opened. With just 10 followers and no movement, SuperDollar can be deemed, for now, a potential pitfall, even if it is just an inveterate attempt to hold an ICO.