PaperTrade Attracted $140M. Then Changed the Rules. Was It a Bait and Switch?

Traders tried to lose money fast to earn PAPER. Now the token may never be transferable, and one tracker shows staking revenue fell 93% in a day. 🔥 EPISODE LINK 🔥 https://unchainedcrypto.com/papertrade-attracted-140m-then-changed-the-rules-was-it-a-bait-and-switch ======================================================================== Thank you to our sponsor! 👉 Put your crypto to work with Nexo: earn daily interest or borrow funds against your assets on one platform trusted by more than 10 million clients. Find out more at https://unchainedcrypto.com/go/nexo-podcast-yt. Geo-restrictions, eligibility and terms apply. ======================================================================== Quick favor: We're deciding what Unchained does next; new shows, stream times, what's worth paying for. Our listener survey (https://unchainedcrypto.com/survey) takes five minutes, it's anonymous, and I read the write-in answers myself. Everyone who finishes it gets a free month of Premium, Unchained or Bits + Bips, your pick. Open through Sunday, November 8. — Laura ======================================================================== PaperTrade drew $140 million in pre-deposits and for one day flipped Nasdaq's daily notional volume by letting traders take up to 1,000x leverage against the house, with a PAPER token as the rebate for losing. Then the team announced it no longer plans to make PAPER transferable. Jason Pagoulatos, Head of Markets at Delphi Research, joins Laura Shin to unpack how the protocol works and why the reversal landed so badly. He walks through the house pool that pays winners from losers' margin, the launch-day trader who pushed ETH around on Hyperliquid to move PaperTrade's price feed, and why a transferable PAPER would invite a larger attack. Pagoulatos says the team's reasoning holds up but calls the change a bait and switch for everyone who deposited under the original rules. With one tracker showing staking revenue down 93% in a day, the conversation ends on what makes any token worth holding: a business that would work without it. Host: 👉 Laura Shin - Founder, CEO and Host of Unchained - https://x.com/laurashin Guest: 👉 Jason Pagoulatos - Head of Markets at Delphi Research - https://x.com/3xliquidated Timestamps: 🎬 00:00 Intro ⚡ 01:53 What PaperTrade is and why it briefly flipped Nasdaq's daily volume 🎰 06:29 How PaperTrade's house pool pays winners and mints PAPER for losers 🚀 10:24 Launch week: $140M in pre-deposits and a price-feed play on day one 💰 14:58 Nexo: Generate daily interest on your crypto or borrow funds against your assets at https://unchainedcrypto.com/go/nexo-podcast-yt 🔒 15:52 Why promise transferability if the risk was already in the docs? 🔄 17:24 Why PaperTrade shelved plans to make PAPER transferable 📉 23:57 Is PaperTrade over after a 93% one-day drop in staking revenue? 🧱 27:44 Why Jason says tokens should be judged like equity in a real business ======================================================================== #bitcoin #ethereum #crypto #cryptocurrencies ======================================================================== Subscribe to our channel! Website → https://unchainedcrypto.com Unchained Daily Newsletter (FREE!)→ https://unchainedcrypto.beehiiv.com/subscribe/ Unchained X → https://x.com/unchained_pod Apple → https://podcasts.apple.com/us/podcast/id1123922160?ls=1 Spotify → https://open.spotify.com/show/1cJrrfGY1SKBIRn5noKSAf?si=6SI4qIcRTEO7EhOe0V9n4w RSS Feed → https://feeds.megaphone.fm/LSHML4761942757 Unchained: Your no-hype resource for all things crypto!