United

Channels

Arthur

Read

Davies

<div class="coingape"> 
 <h2 id="b-3ac-founders-face-backlash-b"><b>3AC Founders face backlash</b></h2> 
 <p><span style="font-weight: 400;">No strangers to the financial world, Kyle Davies and </span><span style="font-weight: 400;">Su Zhu</span><span style="font-weight: 400;"> once led the failed hedge firm Three Arrows Capital. Following its </span><span style="font-weight: 400;">collapse</span><span style="font-weight: 400;">, the duo shifted their focus to the launch of OPNX. However, this decision was met with tremendous backlash since OPNX allowed investors to exchange bankruptcy claims of companies, notably </span><span style="font-weight: 400;">FTX </span><span style="font-weight: 400;">and CoinFLEX.</span></p>  
 <div class="quads-location quads-ad90952 " id="quads-ad90952" style="float:none;text-align:center;padding:0px 0 0px 0;"> 
  <div class="ad1"> 
   <div class="advertised"> <span class="ad-placeholder">advertisement</span> 
   </div> 
  </div>  
 </div> 
 <p><span style="font-weight: 400;">Despite some trading entities making grand claims of their investments in OPNX, the reality was starkly different. Significantly, the platform reported a paltry $2 in trades during its debut 24 hours. Furthermore, the exchange was swift to deny these claims of hefty stakeholder investments.</span></p> 
 <p><span style="font-weight: 400;">Notably, </span><span style="font-weight: 400;">Arthur Hayes</span><span style="font-weight: 400;">, co-founder of BitMEX and CIO of Maelstromfund, sarcastically remarked that OPNX, with negative margins, is operating under the assumption that it will “make it up on volume.”</span></p> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
  <p lang="en" dir="ltr">$2.7mm fine for $2 of trading volume. They are def in the VC game, -ve margins, “we’ll make it up on volume” well played sers. 😭😭😭😭😭😭 https://t.co/lrEdCZCvSA</p>  
  <div class="quads-location quads-ad148831 " id="quads-ad148831" style="float:none;margin:0px 3px 3px 3px;padding:0px 0px 0px 0px;"> 
   <div class="NewTrendin dsdsd m-on"> 
    <h5> 
     <svg class="inline-block w-5 ml-1 text-black _text-digg-blue" width="34" height="20" xmlns="//www.w3.org/2000/svg" viewbox="0 0 17 17" fill="currentColor"> <path fill-rule="evenodd" d="M12 7a1 1 0 110-2h5a1 1 0 011 1v5a1 1 0 11-2 0V8.414l-4.293 4.293a1 1 0 01-1.414 0L8 10.414l-4.293 4.293a1 1 0 01-1.414-1.414l5-5a1 1 0 011.414 0L11 10.586 14.586 7H12z" clip-rule="evenodd"></path> 
     </svg>Recommended Articles </h5> 
    <div class="TrendSList owl-carousel owl-relatedpostar"> 
     <div class="BoXtrendsI bg-white"> 
      <div class="ImgFrmI"> 
       <img width="1200" height="627" src="data:image/svg+xml,%3Csvg%20xmlns='//www.w3.org/2000/svg'%20viewBox='0%200%201200%20627'%3E%3C/svg%3E" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="ethereum price crypto news" decoding="async" data-lazy-src="https://cdn.coingape.com/wp-content/uploads/2023/02/15173931/top-presale-project.jpg"> 
       <noscript> 
        <img width="1200" height="627" src="https://cdn.coingape.com/wp-content/uploads/2023/02/15173931/top-presale-project.jpg" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="ethereum price crypto news" decoding="async" loading="lazy"> 
       </noscript> 
      </div> 
      <h6 class="mb-4"> Crypto Presale Projects For 2023 To Invest; Updated List </h6> <span>Must Read</span> 
     </div> 
     <div class="BoXtrendsI bg-white"> 
      <div class="ImgFrmI"> 
       <img width="1200" height="627" src="data:image/svg+xml,%3Csvg%20xmlns='//www.w3.org/2000/svg'%20viewBox='0%200%201200%20627'%3E%3C/svg%3E" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="crypto exchange affiliate programs" decoding="async" data-lazy-src="https://cdn.coingape.com/wp-content/uploads/2023/08/09180645/trading-bots.jpg"> 
       <noscript> 
        <img width="1200" height="627" src="https://cdn.coingape.com/wp-content/uploads/2023/08/09180645/trading-bots.jpg" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="crypto exchange affiliate programs" decoding="async" loading="lazy"> 
       </noscript> 
      </div> 
      <h6 class="mb-4">Best Crypto Trading Bots List 2023</h6> <span>Must Read</span> 
     </div> 
     <div class="BoXtrendsI bg-white"> 
      <div class="ImgFrmI"> 
       <img width="1200" height="627" src="data:image/svg+xml,%3Csvg%20xmlns='//www.w3.org/2000/svg'%20viewBox='0%200%201200%20627'%3E%3C/svg%3E" alt="ethereum price crypto news" decoding="async" data-lazy-src="https://cdn.coingape.com/wp-content/uploads/2022/12/15175104/top_crypto_marketing_agencies.jpg"> 
       <noscript> 
        <img width="1200" height="627" src="https://cdn.coingape.com/wp-content/uploads/2022/12/15175104/top_crypto_marketing_agencies.jpg" alt="ethereum price crypto news" decoding="async" loading="lazy"> 
       </noscript> 
      </div> 
      <h6 class="mb-4"> Top Crypto Marketing Firms / Agencies 2023; Here’s Best Picks [Updated] </h6> <span>Must Read</span> 
     </div> 
     <div class="BoXtrendsI bg-white"> 
      <div class="ImgFrmI"> 
       <img width="1200" height="627" src="data:image/svg+xml,%3Csvg%20xmlns='//www.w3.org/2000/svg'%20viewBox='0%200%201200%20627'%3E%3C/svg%3E" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="ethereum price crypto news" decoding="async" data-lazy-src="https://cdn.coingape.com/wp-content/uploads/2023/05/15175814/crypto_telegram_channel.jpg"> 
       <noscript> 
        <img width="1200" height="627" src="https://cdn.coingape.com/wp-content/uploads/2023/05/15175814/crypto_telegram_channel.jpg" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="ethereum price crypto news" decoding="async" loading="lazy"> 
       </noscript> 
      </div> 
      <h6 class="mb-4">Crypto Telegram Channels List 2023 [Updated]</h6> <span>Must Read</span> 
     </div> 
     <div class="BoXtrendsI bg-white"> 
      <div class="ImgFrmI"> 
       <img width="1200" height="627" src="data:image/svg+xml,%3Csvg%20xmlns='//www.w3.org/2000/svg'%20viewBox='0%200%201200%20627'%3E%3C/svg%3E" alt="ethereum price crypto news" decoding="async" data-lazy-src="https://cdn.coingape.com/wp-content/uploads/2022/12/23134356/jpg_20221223_134223_0000.jpg"> 
       <noscript> 
        <img width="1200" height="627" src="https://cdn.coingape.com/wp-content/uploads/2022/12/23134356/jpg_20221223_134223_0000.jpg" alt="ethereum price crypto news" decoding="async" loading="lazy"> 
       </noscript> 
      </div> 
      <h6 class="mb-4">Top 10 Web3 Games To Explore In 2023; Here List</h6> <span>Must Read</span> 
     </div> 
    </div> 
   </div> 
  </div> 
  <p>— Arthur Hayes (@CryptoHayes) August 16, 2023</p> 
 </blockquote> 
 <p></p> 
 <h2 id="b-vara-s-response-heavy-fines-and-warnings-b"><b>VARA’s response: Heavy fines and warnings</b></h2>  
 <div class="quads-location quads-ad124348 " id="quads-ad124348" style="float:none;text-align:center;padding:0px 0 0px 0;">   
 </div> 
 <p><span style="font-weight: 400;">In light of the market offense, </span><span style="font-weight: 400;">VARA</span><span style="font-weight: 400;"> has imposed a fine of 10M United Arab Emirates dirhams (equivalent to $2.7 m) on OPNX. This penalty is grounded in regulations set </span><span style="font-weight: 400;">earlier</span><span style="font-weight: 400;"> this year. The founders, including Davies, Zhu, and the Lambs, also faced separate penalties for marketing and advertising breaches. These fines, totaling around $54,000, have been settled in full.</span></p> 
 <p><span style="font-weight: 400;">However, the initial hefty fine against </span><span style="font-weight: 400;">OPNX</span><span style="font-weight: 400;"> remains unpaid. Hence, VARA has not minced its words, warning of additional penalties and enforcement actions if this situation persists.</span></p> 
 <p><span style="font-weight: 400;">Besides these specific penalties, VARA’s Grievance Committee thoroughly reviewed all these decisions. This move ensures that due governance requirements are met. Moreover, the committee has decided to uphold these enforcement actions.</span></p> 
 <p><span style="font-weight: 400;">As the realm of virtual assets continues to evolve, the role of regulatory bodies like VARA is proving pivotal. With heavy fines and clear warnings, the message is loud and clear: non-compliance will not be taken lightly.</span></p> 
</div>

VARA Strikes: Crypto Exchange OPNX Hit with $2.7M Fine

Table of Contents

TheBitTimes

Other articles published on Aug 16, 2023

Adidas Originals and BAPE Break New Ground with Limited-Edition NFT Sneakers

Silvergate CEO and top execs to depart amid bank’s wind-down

Spot Bitcoin ETF approved, but not in the US

Sei Labs Announces Mainnet Beta Launch

RBI Launches Public Tech Platform for Smoother Credit System

MATIC Price Analysis: With Altcoins Falling Left and Right, Will MATIC Price Float Above $0.60?

Join our free newsletter for daily crypto updates!