CoinFLEX will be able to indirectly compensate creditors with equity value resulting from the newly announced launch of the GTX exchange. January 16th statement.
The company has released several statements suggesting that CoinFLEX creditors who are currently blocked from fully withdrawing their funds may benefit from GTX.
That value comes from the stock. September, CoinFLEX restructuring procedures decided The user owns 65% of the company’s shares. In light of that development, the company said today that funds spent on GTX should boost the value of CoinFLEX’s own shares, which in turn should increase the value of shares issued to creditors.
CoinFLEX also said it may rebrand under the GTX name. It added that it may launch various other exchanges. All of these entities exist under one holding company, meaning that creditors can acquire shares in companies other than his CoinFLEX.
CoinFLEX said it plans to provide more information on its proposed plans once the partnership or funding round is fully established.
The pitch deck leaked today reveals that CoinFLEX’s two main founders, Mark Lamb and Sudhu Arumugam, have teamed up with Three Arrows Capital (3AC) founders Su Zhu and Kyle Davies to develop GTX. announced that it has raised $25 million for
Lamb and Arumugam will retain their management positions at CoinFLEX. According to CoinFLEX’s statement today, Lam will notably retain his position as CEO.
CoinFLEX said it posted today’s update to clarify misconceptions about the nature of GTX. Other comments suggest that CoinFLEX users were concerned about the team moving to another exchange that would not include existing customers and creditors.
However, complaints from the crypto community appear to be due to the company’s bad reputation rather than misinformation. Last summer, everyone involved failed horribly. CoinFLEX he stopped withdrawals in late June and immediately applied for restructuring. 3AC filed for bankruptcy last July, shortly after which Zhu and Davies fled his 3AC home country (Singapore).
As such, CoinFLEX is unlikely to gain the trust of the general crypto community due to its own bankruptcy and decision to work with the founders of 3AC.