CoinFLEX Files A Lawsuit To Recover The Missing $84 Million

CoinFLEX, a cryptocurrency trading platform, has issued a statement after confessing to a “lack of responsiveness in the last two weeks.” Sudhu Arumugam and Mark Lamb, the two co-founders, announced the start of arbitration at the Hong Kong International Arbitration Centre (HKIAC) to recover $84 million in losses from a client.

The post does not name the person in issue, but CoinFLEX co-founder Lamb previously revealed that it was Bitcoin Cash supporter Roger Ver. Ver, on the other hand, denied the charges and attacked CoinFLEX, saying that the investment platform owed him money.

The CoinFLEX co-founders noted in the most recent update that a decision in the arbitration dispute might take up to 12 months. Nonetheless, they are confident about the outcome, highlighting the fact that the obligation in this instance is personal, giving the firm a significant advantage.

“Our lawyers believe that we have a very strong case and have commenced legal actions to recover debts owed to us pursuant to this agreement… His liability to pay is a personal liability which means the individual is personally liable to pay the total amount, so our lawyers are very confident that we can enforce the award against him.”

CoinFlex allegedly banned withdrawals after Ver allegedly failed to pay $47 million in margin calls. It is currently in discussions with creditors, investors, and others to provide temporary liquidity to its depositors and is attempting to facilitate some withdrawals from its platform through the “Locked Funds Plan.”

The firm is considering making 10% of funds available for withdrawal. However, there are certain restrictions. Users will see them as locked funds on their balances, but they will not be available for withdrawals and will not count as collateral. The day CoinFLEX implements this plan, trading and all long and short futures bets against each other will be temporarily halted. CoinFLEX will reopen for trading only after verification.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join CoinCu Telegram to keep track of news: https://t.me/coincunews

Follow CoinCu Youtube Channel | Follow CoinCu Facebook page

Patrick

CoinCu News