Collaborative marketing tactics! IoT public chain Helium denied partnership with shared scooter company Lime

The Internet of Things public chain Helium focuses on decentralized wireless network infrastructure. Users can purchase their network hotspot devices to participate in maintaining the wireless network and receive HNT tokens as rewards. Helium is a well-established public chain project launched in 2019. The New York Times had an article in early 2022 introducing Helium, which is also a frequently reported topic in the cryptocurrency media such as CoinDesk. However, cryptocurrency projects that aim for mass adoption often exaggerate their level of collaboration with Web2 companies to prove their "applicability." Recently, the tech media Mashable exposed that Helium had long claimed that the scooter-sharing company Lime was a user, but this was denied by Lime's official statement. Another mentioned company, Saleforce, has also been removed from the official website as Lime has.

Lime told Mashable, "Aside from initial testing of their product in 2019, Lime has no current or prior relationship with Helium."

Event Timeline: Brief Participation in Testing

Lime executives told Mashable that Lime only briefly tested Helium's products in the summer of 2019 and had no further contact with Helium. Lime also requested not to mention Lime in promotions as a condition for participating in the test. Lime stated that the main contact person at that time had left the company two and a half years ago, and they were not clear about the details of the test.

The main contact person referred to by Lime was likely Eddie Li, the former Chief Operating Officer who left the company two years and five months ago. As a former Lime employee, Eddie Li participated in Helium's online discussions. When asked if Lime had used Helium devices, Eddie Li mentioned that there was definite value after the testing, but ultimately, no partnership with Helium was established.

According to Mashable's interview, Eddie Li mentioned that the testing between Lime and Helium did not involve any contracts or payments. The purpose was to find a better way to track Lime scooters, and they did find Helium's technology unique and accurate. However, Eddie Li was uncertain why Helium placed Lime's trademark on their website. Additionally, Helium has mentioned the collaboration with Lime in official articles and on Twitter.

Helium, now renamed Nova Labs, responded: "Nova Labs collaborated with Lime at their San Francisco headquarters. They used LoRaWAN tracking devices to test Lime scooters on the Helium network to locate lost or stolen scooters and were impressed with the sensor's accuracy and extensive coverage. Lime has since undergone restructuring, and the team members who worked with us are no longer there."

Web2 Companies Embracing Token Economics

Helium, founded in 2013 as an IoT company, only introduced blockchain and token economics in 2019. Mashable described it as: "Its wireless network business model struggled until introducing cryptocurrency revenue into the service."

According to Crunchbase data, after introducing blockchain and token economics in 2019, Helium's funding scale and investors significantly improved, raising $200 million in February 2022. Notable crypto investors like a16z and Tiger Global Management are among the investors.

However, can the introduction of token economics and successful fundraising guarantee product success?

Tech media The Generalist recently analyzed in a lengthy article, stating that Helium network participants' earnings have significantly decreased, and the protocol itself does not generate much income; similar to the trend of earning while gaming, Helium also had infrastructure manufacturers cheating to gain more profit. Despite the addition of a large number of hotspots and the use of Data Credits to sustain the token economy, there is still much room for improvement in network usage demand.