- Binance’s new IEO project, Arkham (ARKM), faces backlash over data privacy concerns.
- Critics dubbed the project ‘Dox-to-Earn.’
- The project inadvertently revealed the data of its users.
Since its inception, crypto has been rooted in privacy. This is why Binance’s new Initial Exchange Offering (IEO) project, Arkham (ARKM), came under fire for what critics have called “Dox-to-Earn.”
To make matters worse for Arkham, the project exposed information about its users just days after launch. The company faces backlash for its controversial business model and data security practices.
Arkham (ARKM) Doxes Its Own Referees
Since its launch on Monday, July 10, on Binance Launchpad, Arkham Intelligence has been at the center of controversy. Critics decried the privacy implications of this data harvesting project.
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The controversy led to users looking into Arkham and discovering that the project inadvertently leaked user emails.
According to one crypto user, Arkham has inadvertently exposed users’ email addresses. Namely, each referral link to Arkham contained a user’s email address written in Base64 format.
The issue with that practice is that Base64 can easily be decoded back, revealing the user’s real email address. According to screenshots of Twitter posts, this practice was ongoing for months.
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This has raised further concerns about the project’s practices regarding user privacy and data protection.
Arkham Intelligence CEO Miguel Morel addressed the criticism in a tweet, saying they fixed the issue.
“Going forward, all referral links will contain an encrypted version of the referrer’s email so that it cannot be reverse-engineered,” Morel explained. “This change is already live,” he added.
Arkham (ARK) and “Dox-to-Earn”
Arkham Intelligence allows users to buy and sell information on the owner of any blockchain wallet address. This has led critics to label Arkham as a ‘dox-to-earn’ project.
The controversy began shortly after the project’s launch. Namely, privacy advocates and crypto community members voiced concerns over the project’s business model.
One user called Arkham a “highly unethical anonymous doxxing marketplace” and questioned why it made it to the Launchpad.
“This is absolutely ins*ne,” another user exclaimed. “This is almost a market for DOXing blackmail,” they added.
“Indeed, probably will see law enforcement take this site down in due time,” another user concurred.
“The first thing I’ll do is set a large bounty on finding as much information as possible on the founding team and investors of Arkham,” one user wrote.
On the Flipside
- Despite the controversy, Arkham has managed to raise substantial funding.
- Arkham CEO defends its business model, saying that crypto has been “plagued with bad actors who survive by hiding in the shadows.”
Why This Matters
Privacy is one of the most important values in the crypto space. This is why projects like Arkham should face scrutiny.
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