UFUN UTokens first opened for trading on Jan 14, 2014 at a value of US$0.10. After peaking at US$0.469 on March 27, the company announced a 2:1 split.
From there, the UToken value moved up gradually before surging to a record high of US$1.093 on Oct 24. UFUN declared a new 10:1 split, and the price was subsequently readjusted to US$0.10 when trading resumed on Oct 28, 2014.
Forward Splitting is an investment strategy designed to keep the unit price low to attract more buying interest from retail investors, and to keep the currency at a realistic value.
For example, if you owned 1000 tokens @ UD$1.00 before the split, you would have 10,000 tokens @ US$0.10 after the 10:1 split. While splitting doesn’t increase market capitalization, it certainly helps to create a buying frenzy!
As you can see, after each split, and without fail the unit value of the UToken continues to rise consistently.
As an example, if you had invested just US$1000 on Jan 14 last year and kept it till today (Feb 28), your value would have increased by a whopping 2,973% to US$29,730!
No other investments can give you that kind of returns.
Sounds incredible right? But… is UToken safe?
To answer your question, let’s go behind the scene…