Co-founder the bankrupt hedge fund Three Arrows Capital (3AC) and founder of the OPNX exchange Kyle Davies promised to donate potential revenues from the new platform to creditors for the sake of “good karma”.
He described the proposed scheme as “shadow recovery process” that does not rely on an official liquidation.
Davies said the initiative is the “first of its kind.” However, creditors of 3AC will receive funds only if they “support” OPNX. He said some investors have already been paid.
“If there are those who don’t want to deal with us, then they don’t need it,” Davies added.
Asked how the exchange founder can work on a new project while the bankrupt hedge fund remains in liquidation, he said creditors will reap “solely profit” from the new venture.
Details of Davies and co-founder Su Zhu to raise $25 million for launching the cryptocurrency exchange with active involvement from representatives of the bankrupt CoinFLEX became known in January.
Later Zhu announced the opening of a waitlist for platform access. According to him, OPNX is a way to “atone for past mistakes”.
Many members of the community greeted the project with skepticism and anger.
In April, the cryptocurrency exchange team announced the official launch and unveiled the FLEX token distribution. Leslie Lamb, wife of former CoinFLEX CEO Mark Lamb, assumed the role of CEO of OPNX.
As noted, the head of the trading platform criticised investors who deny involvement with the company.
In May, OPNX received a reprimand from the Dubai regulator for unlicensed activity.