Dubai Regulators Come For OPNX
– Dubai’s virtual assets regulator, VARA, has issued monetary fines against OPNX and its founders Kyle Davies, Su Zhu, and Mark Lamb.
– The company was fined AED 10,000,000 ($2.7 million) and each founder was fined AED 200,000 ($54,500).
– The fines were a result of OPNX’s violation of marketing regulations for digital assets.
– While the founders and CEO have paid their fines, the company’s fine remains unpaid.
– VARA may take further actions, including additional fines or penalties, to recover the payment.
OPNX To Follow In 3AC’s Footsteps?
– The recent fines against OPNX bring back memories of the failed hedge fund company 3AC.
– 3AC had to liquidate and file for bankruptcy due to its failure to repay creditors.
– Despite criticism, Davies and Zhu formed OPNX as a crypto exchange for crypto claims trading and derivatives.
– Issues with regulators like VARA could impact OPNX’s operations and potentially lead to its winding up.
– The sustainability of OPNX’s business model remains uncertain.
Hot Take
OPNX’s founders may face challenges in navigating regulatory compliance, with fines already being issued by VARA. The similarities between OPNX and the failed 3AC raise concerns about the company’s future. It remains to be seen whether OPNX can overcome these obstacles and establish itself as a successful crypto exchange.
By
By
By