Several alleged Open Exchange (OPNX) investors have come under fire from the crypto claims trading platform's CEO after some publicly distanced themselves from the project after being named as a backer.
On April 22, OPNX CEO Leslie Lamb tweeted that the companies' behavior was "disgusting" and "disappointing" and said they "want all the positives with little to no risk."
"I'm here to remind everyone that this is not how entrepreneurship works, if it's not already clear," Lamb added.
I've slept almost 4 hours dealing with the nonsense that has resulted from transparent communications, so I'll get to work.
Investors want the full potential with little to no risk. But I'm here to remind everyone that this is not how entrepreneurship works, if that is not...
โ Leslie Cordero (@therealleslamb0) April 22, 2023
OPNX is a bankruptcy claims firm established by Kyle Davies and Su Zhu, the founders of bankrupt crypto hedge fund Three Arrows Capital (3AC).
The drama began on April 21 when OPNX tweeted a video of Lamb thanking various "major investors" for their support.
The list of investors named by OPNX included AppWorks, Susquehanna (SIG), DRW, MIAX Group, China Merchant Bank International, and Token Bay Capital Nascent and Tuwaiq Limited.
1/ As we approach the release of claims for our first estate, Celsius, we would like to express our appreciation to everyone who believed in our mission to help over 20 million claimants.
A special thanks to our top investors including AppWorks, Susquehanna (SIG), DRW, MIAX Group, China. pic.twitter.com/G406Y7Ponz
-OPNX (@OPNX_Official) April 21, 2023
Nearly half of the listed backers now say they never chose to provide funding to OPNX and have denied any association with the company.
He first company to publicly deny support It was decentralized finance (DeFi) trading firm Nascent, which claimed that while it bought Coinflex (FLEX) tokens, first issued by the company's previous rally, it did not participate in a funding round for OPNX.
Just to clarify, Nascent did not participate in an OPNX fundraising round, we invested in FLEX tokens in early 2021.
โ Nascent (@nascentxyz) April 21, 2023
Taiwan-based venture capital firm Appworks took to Twitter on April 22 to provide further clarification on its investment position, stating that its funding had been โforcibly convertedโ from its initial holdings in CoinFLEX and that "do not support what [Davies and Zu] did during the last days of 3AC.โ
We are CoinFlex patrons and support Mark in rebuilding for interested parties. Our capital is being forcibly converted to OPNX and we have not committed capital to the new entity. We never met Su Zhu or Kyle Davies and we don't support what they did during the last days of 3AC.
โAppWorks (@AppWorks) April 22, 2023
Furthermore, capital markets firm DRW Trading chose not to mince words when it distanced itself from the exchange, bluntly tweeting that it is "not an investor in OPNX."
DRW is not an investor in OPNX nor are any of its affiliates an investor in OPNX.
โDRW (@DRWTrading) April 21, 2023
Since the public dispute first played out on Twitter, FLEX, OPNX's main token, has plunged more than 21% according to data from Trading View.
Cointelegraph reached out to Susquehanna (SIG), MIAX Group, and China Merchant for clarification on their OPNX investments, but did not immediately receive a response.
Related: OPNX jokes about its dismal initial volume after reporting a 90,000% increase
According to the OPNX pitch deck that was first circulated in January of this year, it will allow investors buy and sell claims in bankrupt crypto companies like 3AC and FTX.
Unlike other companies in the claims market, OPNX aims to allow clients to use claims as collateral for trading. Furthermore, the firm claimed that it could help โfill the power vacuum left by FTXโ and expand into other, more regulated markets like stocks and shares.
In June 2022, 3AC received a notice of default from crypto exchange Voyager Digital after defaulting on a 15,250 Bitcoin loan (BTC) and 350 million dollar coin (USDC).
On July 1, 2022, 3AC filed for bankruptcy and has come under fire from the crypto industry at large, with many of its creditors accusing its founders of fleeing legal action.
Several crypto companies have publicly made fixed that they will refuse to associate with anyone who supports OPNX. Regardless, CoinFLEX, the main company behind the OPNX project has defendedclaiming that it will help make clients of failed crypto businesses โwhole again.โ
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