You might be a little confused about why I used the word Shady in the title. By shady I mean it is neither a scam nor a good project to invest in. It has some questionable aspects to it that looks suspicious.
let’s get back on track about the main subject. Weku is a clone of steem blockchain and it uses steemit’s legacy user interface as its blockchain interface. Weku rewards its content creators with its native token W$ / Wuku Dollar and powered up Weku (I will call it Weku Power from now on).
Rewards are split 50/50 between Weku Dollar and Weku Power. Users who sign up to Weku receive 100 Weku Power and those who refer new users also receive 100 Weku Power. Weku’s governance is highly centralized and has only one witness listed in its witness page: https://deals.weku.io/~witnesses . The only witness producing blocks right now is initminer.
Now, allow me to explain why it is a little shady. Here’s the CEO’s LinkedIn page: https://www.linkedin.com/in/kevin-zou-36b3581/ . The page looks like it is newly created and it doesn’t have a picture. The content quality of Weku is also questionable. There is a lot of spam in the trending page. Here’s a screenshot of the trending page taken at the time of writing this post:
As you can see, it is filled with spam. And the biggest problem of Wuku is that its system is gamed very easily. During its early days, many users were able to make a horde of accounts by using bots using fake emails or manually. According to a Wuku team member:
Every one is welcome to sign up and claim the signup bonus. In the case that the same user registers multiple accounts using bots and claims the bonus multiple times, the bot-registered accounts are not eligible for the signup and referral bonuses, and may even be flagged.
The WEKU team has identified a few users doing so by analyzing the IP/time/pattern combinations. From now on, registering 20+ users from the same IP address will be investigated.
The people that were able to farm rewards by using bots most likely have 10s of thousands of tokens and are obviously the most influential people in the Weku ecosystem. Since the Weku team isn’t using much voting power to vote posts, these people will have the power to farm more rewards out of Weku’s reward pool.
Therefore, people who invest in Weku will be giving free money to these gamers who can mint new Wuku tokens using their existing tokens. They are of course not scammers. What they did is game the system due to Weku team’s incompetence which deserves some praise in and off of itself. Lastly, I found this message posted by dev1993 (a Weku user) on Zeal discord (found it when researching about Weku):
Your Remaining Votes (within 24hrs) : 10 of 10
… Weku ico will be hitting market soon
But there is a serious concern about this
There are lot of users especially From the Indian Subcontinent … who have created multiple fake accounts and currently having WEKU more than 20K
… So my concern is people with scamming personality will be ruling if weku hits ICO market
There are lot of discussion going around in SteemIT and this is the reason which stopping SteemIT whales to join Weku