Tezos Futures Trading Plunges As Breitman’s And Foundation’s Dispute Becomes Public

Tezos Futures Trading Plunges As Breitman's And Foundation's Dispute Becomes Public

Coincidentally, yesterday we published a rather positive post on the Tezos(XTZ) platform and the bright future that looked possible. However within minutes of the post becoming public we heard news that husband and wife Arthur and Kathleen Breitman were in an active dispute with a Swiss Foundation’s president, Johann Gevers. Reuters reports:

Under Swiss law, the foundation is supposed to be independent. It holds all of the funds raised, which have mushroomed to more than $400 million in value because the contributions were made in two cryptocurrencies – bitcoin and ether – that have appreciated sharply. But the Breitmans, who still control the Tezos source code through a Delaware company, are seeking to oust the head of the foundation.

An attorney for the Breitmans sent a 46-page letter on Sunday to the two other members of the foundation’s three-person board, calling for Gevers’ prompt removal and seeking to give the couple a “substantial role” in a new structure that would limit the foundation’s responsibilities. The document accuses Gevers of “self-dealing, self-promotion and conflicts of interest.” According to Gevers, the two board members later suggested via email that he step aside for a month while they investigate.

Investors in the Tezos project will be watching to see how this unravels over the next few weeks as their potential for a return on their investment seems to be in hot water. The Tezos futures trading on HitBTC has already plummeted almost 20%:

It does seem there is likely far more to this story than meets the eye and we are currently trying to gather as much information on the nature of the dispute as possible. There is much speculation and misinformation the topic and it would be irresponsible for us to publish false claims to the exact nature of this dispute.

The irony in all this is that Tezos developers main goal was to try and create a crypto-ledger that would do away with the internal disputes between developers leading to forks in the Blockchain, yet here we are before the genesis block has even began for Tezos and the whole project is on a knifes edge due to internal disputes between developers and the foundation which raised the cash.

Money corrupts most, even the well intentioned – shame.

2017-10-20T00:05:44+00:00

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