The NEAR Foundation and Aurora Accused of Reneging on $11 Million USN Conversion
Wintermute founder and CEO Evgeny Gaevoy has accused the NEAR Foundation and Aurora of failing to fulfill an agreement to convert $11 million worth of USN stablecoins. Gaevoy claimed in a Twitter post on Nov. 7 that NEAR refused to honor its commitment to facilitate the sale of $11.2 million worth of USN for the FTX estate.
3. Summary
To reiterate, I see this situation very clearly as:
– NF committed to backstop USN and earmarked money for it
– Aurora accepted the redemption in August (and only last week backtracked on it)
– NF decided they have the power to keep the $11M to themselves instead of…— wishful cynic (@EvgenyGaevoy) November 7, 2023
Gaevoy stated that Wintermute was working with FTX to liquidate its assets for creditors, including the sale of $11.2 million worth of USN. Wintermute executed the transaction under the assumption that it could redeem USN to USDT on a one-to-one basis, providing $11 million to FTX creditors. However, when Wintermute submitted its redemption request, NEAR allegedly refused to honor their commitments. As a result, after two and a half months, Wintermute had not received any USDT.
Hot Take: NEAR Foundation and Aurora Accused of Failing to Honor Commitments
The allegations against the NEAR Foundation and Aurora by Wintermute founder and CEO Evgeny Gaevoy raise concerns about the fulfillment of commitments in the crypto space. It highlights the potential risks associated with unstablecoin conversions and the importance of transparency and trust in such transactions. The incident serves as a reminder for investors and stakeholders to conduct thorough due diligence before engaging in any stablecoin-related activities.
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