The bankruptcy claims exchange, OPNX, founded by the same individuals who started the now-failed crypto hedge fund, Three Arrows Capital (3AC), has finally identified its financial backers in a tweet on Friday. However, three of the supposed “major investors” – trading firms Susquehanna International Group (SIG) and DRW, as well as venture-capital firm Nascent – have denied the claims made by OPNX. The exchange was formerly known as CoinFlex, which is currently undergoing restructuring in the Seychelles. In recent months, 3AC founders Su Zhu and Kyle Davies partnered with CoinFlex to establish the new OPNX exchange, which has a token called FLEX.
DRW and Nascent were both investors in CoinFlex, but they have denied providing any funding to OPNX. “DRW is not an investor in OPNX nor are any of its affiliates investors in OPNX,” a company spokesperson told CoinDesk. Nascent also tweeted, “Just to clarify, Nascent did not participate in an OPNX fundraising round, we invested in FLEX tokens in early 2021. We have not provided any funding to OPNX and have no intentions to do so.” Similarly, a SIG spokesperson told CoinDesk, “We have not provided any funding to OPNX and have no intentions to do so.”
Following the denials made by these firms, OPNX tweeted again, stating, “It’s ugly for firms to seek financial gain while simultaneously denying association due to fear of social media backlash. Should any party waver in their dedication to transparency and industry advancement, we express our disappointment at their misrepresentation and prefer not to have them as investors in future.” Investors in the Three Arrows Capital hedge fund lost billions of dollars during the market collapse last year, causing contagion throughout digital-asset markets. Zhu and Davies announced plans for their next venture, OPNX, early in 2023.
It is essential for companies to be transparent about their financial backers, especially in the cryptocurrency industry, where trust is crucial. The recent denial of funding by the three firms has raised questions about the legitimacy of OPNX’s claims. The company’s tweet expressing disappointment at their misrepresentation and preference not to have them as investors in the future has further fueled these doubts.
The cryptocurrency industry has been plagued by controversies and scams in the past, leading to a lack of trust among investors. It is crucial for companies to maintain transparency and clarity in their dealings to gain the trust of investors. The recent developments surrounding OPNX have raised concerns about the industry’s overall transparency and legitimacy.
In conclusion, the denial of funding by three major investors in OPNX has raised questions about the company’s legitimacy. The cryptocurrency industry needs to prioritize transparency and clarity in its dealings to gain the trust of investors. It remains to be seen how OPNX will address these concerns and move forward with its operations.