Lisk (LSK) Pushing for Momentum as Marketing Chief Responds to Over-Hyped Claims
Lisk (LSK) trailed on the edges of Tuesday’s altcoin surge which saw more than a dozen alts increase by between 7% and 40% in value.
One day previously, the project’s head of marketing, Thomas Schouten, took to Reddit to respond to the recent assessment by William Mougayar that Lisk was among multiple blockchain projects which he regarded as ‘over-marketed’.
Mougayar is a venture investor and advisor, and author of The Business Blockchain, which boasts a foreword by Vitalik Buterin. Shouten’s regard for Mougayar’s opinion was such that he felt compelled to respond to the criticism.
Is Lisk Over-Marketed?
As you can see from Mougayar’s graphic, Lisk joins the likes of EOS, Tron and XRP (here referred to as Ripple) in the over-marketed category. Mougayar stated:
“I’ve classified some projects in 3 buckets: Right, Under & Over Marketed. It is based on their own or community-driven activity. I understand some will push back, but this is how I view the market today.”
The tweet followed the author’s post from the previous day titled ‘Marketing Strategies and Practices for Blockchain Projects and Startups’. The post makes a nifty read for those interested in the marketing side of blockchain; why more money doesn’t always breed more success (he’s looking at you, EOS); and the difference between branding and visual identity.
“Over-marketed means the claims are ahead of delivery or being hyped. Under-marketed means the potential of the product is not well messaged into the market.”
Many of the tweet’s 130 comments came from disgruntled coin holders intent on defending their respective projects – in response to which Mougayar added:
“…the classification has nothing to do with the products/services of these companies… I didn’t include all blockchain projects, but selected ones that I was familiar with and that were significant enough to use as a representative sample.”
Lisk Head of Marketing Responds
The response by Lisk’s Thomas Schouten was less hostile than you might expect. He conceded that Lisk had indeed been over-marketed to an extent:
“William’s definition of over-marketed is “claims are ahead of delivery or being hyped”. To a certain degree, I agree with his judgement… I feel that too often our team has predicted progress that could not be delivered in the end. We have learned from this the hard way.”
However, Schouten also pointed out that many of the so-called ‘right-marketed’ projects happened to be exchanges, while most ‘over-marketed’ projects happened to be platforms.
“Coincidence? No. To me, comparing an exchange (for-profit) with a working product and profitable business model, to open-source blockchain platforms in development (non-profit) is comparing apples with pears.”
While LSK did record 3.3% gains against the dollar, and over 4.4% against BTC on Tuesday, momentum was hard to come by. LSK/BTC on Binance moved from $0.0003368 up to $0.0003518, while the dollar valuation rose from $1.19 to $1.23.
The daily trade volume of $3.6 million was a $400,000 increase from the previous day – not insignificant, but nowhere near the trade influx seen by some of the day’s major movers.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
Featured image courtesy of Shutterstock.