Infinex Announces Token Sales Changes in TGE Failure; Insider Trading Concerns

Infinex, a crypto wallet super app, started its long-awaited token sales on January 3, with a worse-than-expected first 24 hours. The team now announced some changes to the token generation event (TGE), listening to community feedback—which impacted prediction bets on Polymarket, raising insider trading concerns.

In a post that starts with “We got the sales wrong,” on January 5, the Infinex official account explained that seeking a balance between “existing Patron holders, new participants, and fair distribution” was a mistake that pleased nobody. “Retail hates the lock. Whales hate the cap. Everyone hates the complexity,” they concluded.

With less than five days left for the TGE end, set to January 10, the team announced three significant changes. First, the $2,500 individual allocation cap is now removed: “We’re done trying to guess the right number. The market will decide.”

Second, Infinex changed the random allocation mechanism to a “bottom-up fill (…), also known as water filling.” Everyone’s allocation rises equally until it is full or the supply runs out, and any excess contribution will later be refunded.

Nevertheless, the preference for “Patron holders” remains untouched, and they will still get allocation priority. The difference here is that details on this allocation preference will be defined only when token sales end, gathering demand information “instead of guessing,” in the team’s words.

Token Sales State and Insider Trading Concerns

Infinex aimed to raise $5 million by selling 5% of the token’s total supply at a $99.99 million fully diluted valuation, with a one-year lock-up period for all tokens generated in the TGE.

Reports show less than 10%, only $448,000, raised in the first 24 hours, with only 270 unique addresses participating. By the time of this writing, the token sales had raised less than $700,000 and sparked commentary of Infinex TGE being a failure, which explains the team’s decision.

On the other hand, the announced changes raised other concerns as analysts started sharing data from the leading prediction market, Polymarket, related to a bet around Infinex token sales. According to users on X, some recently created accounts started to massively purchase “yes” bets for $3 million and $5 million raised on TGE less than 15 hours before the reported announcement.

Users and commentators started to report insider trading suspicion as accounts frontran the announcement with significant bets on Polymarket, or some other sort of information leakage—whether desired or not—all things considered. The team has not commented on these rumors.

Infinex is a non-custodial, passkey-secured cryptocurrency superapp designed to deliver a centralized exchange-like experience directly on-chain, powered in part by NEAR Intents, a fast-growing chain abstraction protocol that runs on the NEAR blockchain.

Infinex combines a multi-chain wallet, unified portfolio tracker, and integrated trading terminal, supporting over 20 blockchains with features like gas abstraction, perpetual and spot trading, swapping, bridging, yield farming, NFT marketplaces, prediction markets, and airdrop claiming—all in one interface.

Recent announcements came at the same time as another Ledger wallet data breach happened and an Ethereum L2, Starknet, faced a major outage.

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