CoinFlex, a cryptocurrency launched in January 2019, has recently announced changes that will be introduced in its new plan aimed to improve its financial situation.
The cryptocurrency team has applied to the Seychelles supreme court for reorganization and restructuring. The details of this plan were emailed to major stakeholders for the green signal. They have all agreed to the terms and have put the plan into motion.
The CoinFlex team has revealed that in the new plan, creditors (Ad Hoc Group) will own 65% of the company. Their internal team will own 15% through Employee Share Option Plan (ESOP). This is crucial for the team to put in maximum effort to revive CoinFlex.
Series B investors will be allowed to continue to stay in CoinFlex. These investors also hold the ability to gain equity in the future as the team has acknowledged the importance of their role in the growth of CoinFlex.
The new board of CoinFlex will consist of Platform Depositors, SmartBCH Representatives, Series B Investors, and Independent Directors. Series B and the Ad Hoc Group decided that it is in everyone’s best interest if the team owned Flex. Most shareholders will be wiped out in this process.
CoinFlex realizes that there will be diverse views on the terms of reorganization. They will make their terms public and hold a vote using CoinFlex tokens. If the results are in favor of the terms, the team will move forward to the Supreme Court, if not, the stakeholders will review the terms and another voting round will be held.
The team is hoping to finish this entire reorganization process in 6 weeks, hoping the judge will be satisfied with the agreement on the terms. CoinFlex is introducing new features for their investors during this process as well making the reorganization as beneficial for all as possible.
