Open Exchange (OPNX) founder Mark Lamb and CEO of Heimdall, Vishal Shah, disclosed that the bankruptcy claim product would be available to Celsius Network LLC users in a week. The cryptocurrency exchange allows users whose funds are frozen on bankrupt cryptocurrency platforms to unlock their assets.
OPNX was Launched on April 4 to offer spot and derivative trading, including the bankruptcy claim product. On the other hand, the company didn’t disclose a rollout date for the bankruptcy tokenization product at launch.
Instead, the CEO of Physical World Assets tokenization company Heimdall, Vishal Shah, disclosed that Celsius Network LLC users could access the bankruptcy tokenization product from May 29.
OPNX Bankruptcy Tokenization Offerings
OPNX is a Dubai-based exchange established by Mark Lamb, CEO of a cryptocurrency futures exchange CoinFlex, and 3 others.
The 3 other founders include Sudhu Arumugan and founders of failed cryptocurrency hedge fund Three Arrows Capital (3AC), Su Zhu and Kyle Davies. Although while describing OPNX’s business strategy, Lamb stated he desires to distinguish the exchange from others by running a membership model.
The membership model concentrates on staking bankruptcy states to derive advantages such as zero-fee trading. Lamb likewise spoke about deploying a liquidity model that doesn’t favor market makers.
Lamb wants OPNX to focus on tokenized bankruptcy states or Physical World Assets (RWA). That will differentiate it from other exchanges that list crypto tokens but do not specialize in any area.
Here’s what Lamb said:
“ In the end, we want products that weren’t just basically cryptocurrency native crypto tokens, where every exchange is in a race to listing the same set of new novel crypto tokens. And no exchange has any specialties about them.”
To Lamb, focusing on RWA gives OPNX value beyond cryptocurrency and speculation, securing its future and ensuring longevity.
Celsius Network LLC Bankruptcy States To Commence Next Week
Bankruptcy states trading isn’t novel, especially with big entities, but OPNX’s approach appears innovative.
Shah pointed out that the 2022 cryptocurrency bankruptcies divided creditors into classes opening an over $20 Billion void for OPNX to leverage and build its innovative tokenization technology.
Shah disagrees with critics who say bankruptcy states are not fungible and so are untradeable. “You can standardize states if you pull the right levers,” he said.
Once more Lamb stated OPNX eliminates the uncertainty of dealing with bankruptcy states, supplying claimants with crypto tokens they are already familiar with.
The claimants can use these crypto tokens to redeem locked funds, which they can trade in the future. OPNX is kicking off its bankruptcy states tokenization with Celsius Network LLC which stopped withdrawals on June 13, 2022, citing extreme market conditions.
Celsius Network LLC filed for bankruptcy one 30 days thereafter, on July 13, 2022, leaving 1.7 Million users stranded with stock funds. Shah stated Celsius Network LLC states would be ready for tokenization after Memorial Day on May 29.