Significant Decline in $KTA Value
In a startling twist within the cryptocurrency world, the token $KTA associated with the Base blockchain has seen its value drop dramatically by 20% in just 24 hours. This significant decline was sparked by a critical tweet from an individual named MRG, who cast doubts on the legitimacy of the Keeta project. He claimed that the Keeta testnet had convinced him of its falseness, labeling its block explorer as a sham and asserting that the displayed transaction data was fabricated. MRG criticized not only the Swap function as non-functional but also derided the white paper and associated documentation as subpar, allegedly generated by AI, expressing a lack of interest in testing their software development kit (SDK).
Tensions Escalate with Expert Commentary
“When the most vocal supporters of a project are not the developers but rather independent influencers, it often indicates underlying technological issues.” – ZachXBT
Renowned blockchain investigator ZachXBT responded, pointing out a concerning trend that supports MRG’s claims. He noted that projects like Keeta tend to overhype their valuations, highlighting the problematic nature of launching a blockchain product alongside coin distribution, with high fees contributing to the situation.
Plans for Live Testing Event
In light of these criticisms, Keeta’s official account announced plans for a live testing event on June 12, in partnership with Google’s Spanner engineering team, aiming to demonstrate its capability of processing 10 million transactions per second. Despite these intentions, skepticism remains prevalent among users of the Base ecosystem, particularly after witnessing a staggering 600-fold increase in valuation since its inception, currently standing at over $1.6 billion in market cap, bolstered by over $17 million in backing from investors, including Eric Schmidt, the former CEO of Google.
The Role of Eric Schmidt
Schmidt, a pivotal figure in Silicon Valley since his tenure at Google which began in 2001, has shifted his focus post-retirement towards ventures in scientific research, technology investments, and particularly artificial intelligence. He has played a significant role in supporting startups like Steel Perlot Management, the incubator led by his former partner Michelle Ritter.
Internal Struggles at Steel Perlot
Ritter, who met Schmidt while at Columbia Law School, founded Steel Perlot in 2020, claiming to incubate innovative companies at the intersection of AI, blockchain, and payment systems. However, this united front now faces strain amid personal tensions and allegations of infidelity that surfaced during their time together. Despite the allure of high salaries and a prestigious network, internal struggles plague the startup, including financial burdens and unfulfilled promises of continued investment from Schmidt’s financial firm, Hillspire.
As of late 2023, the toll on both Ritter and Steel Perlot’s projects, which also include various high-tech ventures, exacerbated by dwindling investor confidence, has led to speculation about their future viability.
