In a recent development in the cryptocurrency space, the Open Exchange (OPNX), a crypto exchange project proposed by Three Arrows Capital (3AC) and Coinflex, has garnered significant attention. The project, backed by the bankrupt hedge fund 3AC, has managed to quickly complete a financing round of $25 million, according to BitMEX founder Arthur Hayes. Furthermore, Hayes revealed that the Kingdom of Bahrain’s sovereign wealth fund had contributed a substantial amount to OPNX.
Launched on February 9, the Open Exchange project sparked outrage from many members of the cryptocurrency community, who took to Twitter to express their disappointment. They criticized the launch, citing their disapproval of the state of the crypto space and the involvement of the 3AC founders.
Some users questioned the exchange’s name, suggesting the possibility of it being a scam, while others vowed never to trade on the platform, regardless of its fees or liquidation mechanism. A few users even wished harm upon those who would use the exchange, while some reactions were more restrained, with users simply declining the offer or regarding it as an early April Fool’s joke.
However, not all reactions were negative. Some community members saw the exchange as a “killer idea” and believed that those who criticized the project would eventually use it to trade their claims and face liquidation again.
The 3AC and Coinflex founders began raising funds for the exchange project on January 16, targeting claims against bankrupt companies like FTX, Celsius, and Voyager. By February 4, they had successfully raised $25 million, per Hayes’ statement. This news was met with mixed reactions, with TechCrunch founder Michael Arrington calling it the “saddest bullshit” he had heard in a long time.
On the other hand, Macro Financial executive Nik Bougalis argued that the 3AC founders raising new funds are disgraceful and indicative of the issues plaguing the crypto space. He further stated that anyone providing funds to the 3AC founders should be considered a scammer. Despite the controversy surrounding the Open Exchange project, it remains to be seen how it will perform in the competitive and ever-evolving cryptocurrency landscape.
