Open Exchange Token

In a recent announcement OPNX, the Seychelles-incorporated cryptocurrency bankruptcy claims platform co-founded by the creators of the now-defunct hedge fund Three Arrows Capital (3AC), has revealed its decision to cease all operations.<h2 id="header-0">February 14 shutdown</h2>In a <a href="https://x.com/cole0x/status/1753166187590996363?s&#61;20" rel="noopener noreferrer nofollow">message</a> to its users, subsequently shared on social media on Thursday, the OPNX team expressed its commitment to ensuring an orderly closure, urging users to settle all positions by Feb. 7 and withdraw their funds from the platform before Feb. 14, as all withdrawal functionality will be disabled thereafter. The team expressed gratitude to the OPNX community, acknowledging their dedication and trust throughout the platform’s existence.Short for “Open Exchange,” OPNX served as both a hybrid bankruptcy claims platform and a crypto exchange, enabling users to trade creditor claims of bankrupt crypto companies.The origin of OPNX can be linked to two defunct crypto entities — Coinflex and 3AC. Seychelles-based Coinflex was a crypto yield platform that was forced to suspend withdrawals in June 2022. It subsequently entered into a bankruptcy process. Coinflex co-founder Mark Lamb joined forces with 3AC’s Kyle Davies and Su Zhu to found OPNX. In October, Coinflex creditors <a href="https://coinnesslive.page.link/s7gDECsSwABnmBAu7" rel="noopener noreferrer nofollow">sued</a> Lamb, alleging that he had appropriated Coinflex’s intellectual property, customer base, employees and technology to establish OPNX.<h2 id="header-1">Mired in problems</h2>Within its short existence, OPNX has been mired in problems. From the very outset, there was little goodwill for the new venture, given that many crypto sector participants took a dim view of Zhu and Davies due to the turmoil the collapse of 3AC caused within the industry.In April of last year, OPNX <a href="https://coinnesslive.page.link/u32TMuCxkLr6d8tg7" rel="noopener noreferrer nofollow">claimed</a> to have significant venture capital backing, only for many of the VC entities mentioned to quickly deny such claims subsequently. The following month, the local regulator in Dubai, the Virtual Assets Regulatory Authority, formally <a href="https://coinnesslive.page.link/iwn7jtUfDZeTFhrv8" rel="noopener noreferrer nofollow">reprimanded</a> the OPNX founders for promoting an unregulated business within the Emirate of Dubai. In August, it <a href="https://coinnesslive.page.link/6MYULuaQi9BSLqNv6" rel="noopener noreferrer nofollow">emerged</a> that VARA had hit OPNX and its founders with a hefty fine.Following the closure announcement, the native OX token of OPNX experienced a significant price decline. Over the course of the past 24 hours, the token unit price has fallen 13.6% to $0.007981.The failure of 3AC led to Teneo, the firm responsible for liquidating 3AC’s assets, subpoenaing Zhu and Davies for concealing details of their physical whereabouts through messages on social media platform X.The closure of OPNX adds to the challenges faced by Zhu and Davies, as Teneo is actively seeking to recover $1.3 billion directly from the co-founders. The claim asserts that Zhu and Davies engaged in substantial leverage with investor funds after the insolvency of their hedge fund.In September 2023, Singapore’s central bank <a href="https://coinnesslive.page.link/dkRE295xZ9N8V5Jz8" rel="noopener noreferrer nofollow">issued</a> nine-year prohibition orders against Davies and Zhu, citing alleged violations of the country’s securities laws at Three Arrows Capital.All the while, crypto community sentiment remains negative where OPNX and its founders are concerned. Taking to social media, Ikigai Asset Management’s Travis Kling didn’t mince his words, <a href="https://x.com/Travis_Kling/status/1753169664257978500?s&#61;20" rel="noopener noreferrer nofollow">stating</a>:”I mean it from the bottom of my heart when I say **** these criminals.”As OPNX concludes its operations, the unfolding events surrounding its co-founders and their association with the failed hedge fund continue to draw attention to the need for the industry to raise its standards.

3AC-founded OPNX Exchange announces closure

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