Arthur Hayes, the former CEO of BitMEX, recently claimed that the founders of OPNX, Zhu Su and Kyle Davies, received significant funding from the sovereign wealth fund of the Kingdom of Bahrain.
Hayes, who cited an anonymous source, also warned investors to be cautious when trading with Tai Ping Shan, the platform used by the OPNX founders. In February, Hayes had previously expressed his frustration over the exchange project and its fundraising efforts.
OPNX, co-founded by executives of CoinFLEX, had announced a seed funding round of $25 million to target claims against bankrupt firms such as FTX, Celsius, and Voyager. The fundraising event had been criticized by venture capitalist Michael Arrington, who called it “the saddest bullshit” he had heard in a long time.
Since its launch, OPNX’s liquidity has been the subject of ridicule by several community members. The project’s official Twitter handle has also been suspended, though the reason for the ban remains unclear. It is possible that the influx of angry crypto users flagging Twitter Support with reports of “platform manipulation and spam” led to the suspension.
The news of Bahrain’s sovereign wealth fund backing the project comes at a time when regulatory scrutiny on cryptocurrencies and related projects has increased globally. As such, investors and users are urged to exercise caution and conduct thorough due diligence before investing in any crypto-related projects.