It took simply 4 minutes for a comparatively unknown cryptocurrency to rise by over 5,600% as of Nov. 5, in accordance with knowledge from CoinMarketCap.
Dubbed Phoenix International (PHB), the token soared from $0.02057 to as excessive as $1.1413 on Nov. 5, with its quantity dropping surprisingly — from $3.79 million to round $777,680 in the identical interval.
Nonetheless, on the core of the large PHB pump was a token migration and a technical glitch, which CoinMarketCap has now fixed with PHB worth now up a comparatively modest 59%.
Pretend PHB pump?
Intimately, Phoenix International announced in September that it might shift its enterprise decentralized utility options from the Neo blockchain to Binance Smart Chain (BSC). In doing so, the group additionally proposed emigrate its NEO-based native asset PHX to PHB, a BEP-20 customary token, with a “redenomination” set at 100:1 (100 PHX = 1 PHB).
The stated migration commenced on Nov. 2 and successfully reduced Phoenix International’s official token provide from round 3.5 billion to 35 million. In the meantime, the decision led to the brand new PHB tokens buying and selling 100 occasions increased than the pre-swap greenback worth.
That triggered chaotic calculations at CoinMarketCap, for it began evaluating the worth of previous cash with that of the brand new ones whereas treating their provide cap the identical as 3.5 billion. Consequently, it led merchants into believing that PHB’s market valuation had grown 56 occasions in lower than 5 minutes, hitting $4.24 billion to develop into the 52nd largest.
“The venture had undergone a re-denomination, and this affected the most important quantity market pair on one change,” CoinMarketCap defined in personal feedback.
Only a glitch, in spite of everything
The price to buy one PHB token didn’t develop as boasted. Quite the opposite, the token dropped by greater than 32% to $0.947 after debuting on Binance on Nov. 5, as proven within the chart beneath.
Earlier this yr, a technical glitch on CoinMarketCap had also pushed Wrapped Bitcoin, a cryptocurrency that acts as Bitcoin’s mirror throughout the Ethereum ecosystem, to the highest crypto spot.
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