HiTower, today one of the most promising projects in the field of real asset tokenization (RWA), has a history full of challenges and failures that could discourage even the most determined creators. However, it was the persistence, faith in success and courage of the founders that allowed the original concept to be transformed into a project that today sets standards in the blockchain industry.
First step: FCQ Platform and risky cooperation with Coinsbit
The origins of HiTower date back to 2019, when the project operated under the name FCQ Platform. Its goal was to create a real estate tokenization solution that was innovative at that time and ahead of market trends. At a time when many blockchain projects focused on speculative tokens, the FCQ Platform team focused on the real value and application of technology in the real estate sector.
The first presentation of the project took place during conversations with representatives of cryptocurrency exchanges organizing the Initial Exchange Offering (IEO) – a then popular method of financing blockchain startups. Coinsbitone of the dynamically developing exchanges, expressed interest in cooperation, and FCQ Platform was to become the first project in the history of this platform to undergo IEO.
IEO – hopes and disappointment
The decision to work with Coinsbit was both a risk and an opportunity. On the one hand, as the first IEO on this exchange, the project had a chance to attract users’ attention. On the other hand, cooperation with the new exchange meant uncertainty as to its actual potential and credibility.
In August 2019, the FCQ Platform team invested significant private funds to conduct an IEO on Coinsbit. Official stock exchange reports indicated that the fundraising was successful, reaching an amount exceeding USD 5 million. However, the reality turned out to be brutal – only the wallet of the project creators benefited $3,000.
Later analyzes indicated that the exchange probably used artificial trading practices, which created the illusion of popularity and high potential among users. Coinsbit, forced to maintain its propaganda of success, put pressure on the FCQ Platform team not to reveal the true results of the IEO by referring to the NDA provisions.
Further actions and further challenges
Despite the disappointing IEO result, the FCQ Platform team did not give up. The creators decided to list the token on the Coinsbit exchange, and then on another exchange – CoinTiger. In both cases, the costs associated with the listing were covered from the private funds of the founders.
To increase the value of the token and attract investors, the team partnered with Rafał Zaorski and the Krypto Jam team, known for their experience in market strategies and token value building. Despite close cooperation and subsequent investments, these activities also did not bring the expected results.
Change of direction and new hopes
Continuing the difficult but inspiring journey of HiTower, it is necessary to look at the next stages of the project’s development. After a series of challenges that FCQ Platform encountered in the first phase of its operations, the team did not lose faith in their idea. Turning failures into experience, the creators began to look for alternative sources of financing and new development opportunities. This led to breakthrough moments that defined the next chapter of this story.
Support from VC Impera Alfa: a new beginning
In October 2020, one of the key points in the history of the project occurred. After months of searching, FCQ Platform obtained financing from the Venture Capital fund Impera Alphasupported by EU funds. The support provided amounted to approx PLN 1 millionwas intended to enable creation MVP (Minimum Viable Product) real estate tokenization platforms.
Thanks to this financing, the team was able to implement key projects milestoneswhich brought the project closer to its final vision. The development of a working version of the platform opened up new opportunities, including prospects for further financing.
New name, new challenges – Terra Land
After completing the MVP phase, the team started trying to obtain another round of financing. At that time, the paths of the project creators crossed with Wojtek Gruszka, known in the cryptocurrency community as Mr. Paragraph. His involvement and substantive support turned out to be crucial for the further development of the project.
The result of the cooperation was the acquisition of new funds for the development and rebranding of the platform – from then on, the project operated under the name Terra Land. With the new name came new ambitions and opportunities, including organization IDO on the StarTerra launchpad and listing the tokenTLAND on DEX Terra Swap.
Successes and unexpected complications
The Initial DEX Offering (IDO) of the TLAND token on StarTerra turned out to be a great success, attracting the attention of numerous investors. The first hours after the token was listed on DEX were very promising – the positive market sentiment heralded a bright future.
However, the situation changed dramatically when the official Twitter account (now X) To Kwonthe creators of the Terra Luna ecosystem, an entry appeared criticizing the Terra Land project. In his statement, Do Kwon suggested in crude terms that the project’s creators had committed fraud, which sparked a violent reaction from the community and investors.
The developers of Terra Land immediately took action to clarify the situation. It turned out that the cause was a misunderstanding collection on Coinsbitwhich was just a hoax, as we describe above. Although the Terra Land team openly described the behind-the-scenes of this story on their social media before IDO, Do Kwon, probably without having read these materials, thoughtlessly questioned the credibility of the project.
The project team organized a face-to-face meeting with Do Kwon during the convention TerraformLabs in Portugal. After explaining and presenting evidence, Do Kwon posted a correction on his Twitter profile. Unfortunately, initial investor enthusiasm for the TLAND token never returned to previous levels.
Terra Land’s momentum and collision with the wall
After difficult beginnings and gradually gaining the trust of investors and users, increasing the number of wallets holding Tland, and selling more properties, the project faced another crisis. This time it was about more than a single issue – in May 2022 the entire Terra Luna ecosystem collapsedwhich had far-reaching consequences for Terra Land and its users.
The fall of Terra Luna was one of the most spectacular events in the history of the cryptocurrency market. An ecosystem that seemed powerful and stable was destroyed. The irony was that To Kwonwhich had previously questioned the credibility of the Terra Land project, itself became the main responsible for the disaster that affected millions of users.
Today, Do Kwon is a fugitive from justice, accused of financial fraud amounting to USD 500 million. Meanwhile, the Terra Land project has proven its value and credibility – users who purchased real estate using the UST stablecoin protected their capital by investing it in real assets, while the value of the UST currency itself dropped to practically zero. This was one of the key moments that showed that solutions such as tokenization of real assets (RWA) make sense and effectively fulfill their role, especially in crisis situations.
Despite the positive aspects, the fall of Terra Luna and several other “black swans” that occurred at that time caused a serious crisis and a long-term recession on the cryptocurrency market. With the market collapse, the Terra Land project lost much of its capital, especially as a result depegu USTwhich put the future of the project in question.
However, the creators of the project, once again, decided not to give up. They realized that the market reaction to Terra Luna was extremely negative and that it would take time to rebuild trust and positive sentiment. However, this did not mean passive waiting.
A new vision and direction
The project passed rebranding and since then it has operated under the name HiTower. The name change was symbolic, but new ambitions and direction of development were key. The team decided that HiTower would not be limited only to real estate tokenization. The new platform is intended to become an ecosystem RWA (Real World Assets)allowing you to invest in a variety of assets, in addition to real estateAdditionally: bonds, stocks, gold, luxury goods.
This turn towards product diversification opened up new perspectives and opportunities for the project and its users.
Regulatory support and long-term strategy
Understanding the need for regulation and a stable foundation for operations was a key element of HiTower’s new strategy. After months of legal analyzes and consultations with experts, the project decided to operate in Liechtensteinwhere comprehensive applies Liechtenstein BlockchainAct 2020 directive.
This innovative regulation not only supports RWA tokenization, but also ensures full legal compliance and supervision, which gives the project a solid foundation for building trust among investors and users. The process of applying for a license has begun, which will allow HiTower to become one of the few entities in the world offering tokenization of assets in accordance with such rigorous standards.
HiTower, building on the lessons of the past, is implementing its vision gradually but consistently. The team is rebuilding the platform, adapting it to new products and regulatory requirements. In the meantime, he makes connections strategic partnershipsthat are intended to accelerate the development of the ecosystem.
Despite new challenges, the team did not forget about investors TLANDwhose support was crucial in the difficult moments of the project. Details regarding further steps towards investors, as well as the future of the platform, will be gradually revealed in subsequent publications.
The history of HiTower is proof that determination and faith in the correctness of the vision can overcome even the greatest crises. The team has proven that it is able to survive the most difficult moments and come out stronger. Thanks to a well-thought-out strategy, regulatory support and an innovative approach, HiTower can become one of the leaders in tokenization of real assets.
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