At the end of January 2020, I looked into my ledger Live accounts and I was surprised, when I saw, that I have received 888,888 Kicktoken. I thought "Great! Everything, that is in my ledger is actually mine and I can do with it whatever I want." But then my research started... Where the hell are these tokens, about 40 € worth that day, coming from?
What is a Frozen Airdrop?
I found out, that they literally dumped their frozen tokens on 1.000.000 (in words: one million!) ether wallets. They paid 50.000 $ worth of transaction fees to perform the frozen drop. A kicktoken is an ERC-20 Token, that runs on the ethereum blockchain and works with smart contracts. In this smart contract, they programmed to lock them up in your wallet. They are "frozen". This means, that right now you can not withdraw them, not to kucoin, where they are tradable, or anywhere else. You have to unlock ("unfreeze") them, which is not possible right now, because you have to wait for the launch of the kick exchange. Regarding the exact conditions of unfreezing I found the following statement:
Please note that FrozenDrop tokens will not ‘unlock’ by themselves in any time given. To unlock the tokens, you’ll need to meet certain simple conditions that we’ll publish after KickEX exchange is launched. Kick Team deliberately does not disclose the terms yet, since many competitors have their eyes on our mechanism and the know-how terms will be published after the release of KickEX.
So the exact conditions are unknown at the moment. What we know is that you have to sign up at kickex after their lunch and do the KYC. But what else? Still remains a secret...
They say they are "not disclosing the terms yet since many competitors have their eyes on our mechanism." This statement made me laugh because it appears to be a marketing lie. They just dumped their tokens on one million addresses they found in etherscan, no matter if they were active within the last 30 days or if they contain different ERC-20 tokens. It was not the miracle of a highly effective marketing tool as they tell you. They just dumped their tokens one million times.
Now comes the funny part: You can not pass the KYC when you are a US citizen, because Kickex from China doesn`t have permission from the US authorities. There are also other restricted countries. So if you are from the US or another restricted country and you have received the frozen 888,888 Kicktoken, all you have received is worthless spam! It´s time to face the truth, my friends.
Their strange telegram channel and referral program
If you think, that sounds unbelievable, I highly recommend you to visit their strange Telegram Channel. Of course, I also did while doing my research. I joined the channel and I got muted in the second I joined for one hour to read an article about the frozen drop.... So welcome to the kickex ecosystem. I was able to gather some information before they banned me after a critical question about the frozen drop and restricted countries.
I found out, that they have actually three different kinds of kicktokens: one, that you can buy and trade like you are used to, two others have restrictions programmed in the smart contract: the frozen token, that can only be unlocked after you have fulfilled some uncertain conditions and then there is a third kind of token, the one from the ref program, that has this pyramid, that scammers love.
There are three types of Kicktokens:
- conventional KickTokens, which are freely traded on exchanges
- frozen KICK tokens that may have been received as part of our FrozenDrop or KickToken Swap Bonus
- referral KICK tokens
The Kicktoken from the referral program can only be used to pay for services (fees) of the ecosystem!
All they tell you on their website is, that this is the most profitable referral program the world has ever seen. But what they don´t tell you, is the fact, that the Kicktoken from the referral program can only be used to pay for services of the kick ecosystem. To get this information you have to read "the hidden small letters"
All tokens received in the KickEX Referral Program are referral KickTokens and can only be used within the Ecosystem. For example, for pay of trading fees on the KickEX exchange or to pay commission, which is charged with the withdrawal of funds received from the referral network.
Many users attended the telegram group to ask how to withdraw the tokens from the referral program. Most of them were not satisfied by the arrogant answers of the admins like "why should we give you money if you are not using our services". Users who claimed, that this is not what they expected got banned. I asked, if it is possible to burn my frozen drop because I don´t want them to stay in my wallet... the wrong question...banned. But honestly, these tokens are confusing my balance and I just want to get rid of them as soon as possible.
Why you should be careful
One of the most important things, when you go airdrop hunting is not to get greedy! When you get greedy, you make mistakes and then you don´t see the scam behind it anymore. Please never get greedy looking for a quick buck, always stay critical!
Many users just see the quick buck, especially after the big pump of the 888,888 frozen tokens in their wallets (from 40 $ to 500 $ and back to 200 $) and ignore the warning signs.
Be prepared, that you lose your valuable data. Your ethereum wallet, which is anonymous by now can be linked with the data you have to provide by doing the KYC.
Much more be prepared, that you can use the frozen tokens only for paying fees in the kickex ecosystem...These people want to earn money with you and no, you have not won the lottery...
What is the resume?
After my research on kickex and their tokens, I learned something completely new and I had to change my opinion, especially about ERC20 Tokens.
No, not everything, that is showing up in your ledger live or in your ether wallet is actually yours, it could be locked up until you do exactly what they want you to do. You can receive spam-like ERC20 tokens in your wallet, showing up out of nowhere like a poisoned fruit. You don´t find any links to kickex in this article, because it is better not to link to malicious sites.
I hope I could help you with my article. For more valuable airdrop hunting advice, please make sure to follow me.
If you want to know an Airdrop, that´s trustworthy and at the same time really worth it, please read my article about Coinbase Earn.