CRYPTO DRAMA NEVER ENDS
What’s going to happen with Twitter? CoinFLEX and Bitcoin Jesus problems, and more
Coo! It’s me, Crypto Owl. Happy Monday! I’m returning to you with some yummy crypto news. Let’s start!
On Today’s Menu:
🥩 JUICY STEAK: Elon Musk: buy or not to buy?
🥗 BOWL OF SALAD: CoinFLEX is flexing with a plan to reclaim $84 million
🥨 PRETZEL: Axie Infinity shoots up to 205%
ELON MUSK: BUY OR NOT TO BUY? THAT’S THE QUESTION.
Back in April 2022, Elon Musk announced his plans of buying Twitter. No doubt, you have all heard of that. Elon offered $44 billion for this purchase; he also added a few conditions - to remove all spam and scam bots from the platform if his offer was accepted. Also, he expressed the wish to return the alleged lack of freedom of speech on Twitter, as well as include new features like editing tweets and seeing edited history.
The offer was accepted. Until Musk changed his mind on Friday.
What happened?
Now Musk doesn’t want to buy Twitter anymore. The reason is simple: he doesn’t trust Twitter and his board 100%. During this period, (since Musk’s announcement to buy the social platform) Tesla's CEO wasn’t satisfied because he didn’t get the requested information about spam and fake accounts on Twitter. Can we blame him? Hell no.
It’s fair enough because if you buy something, you want to get a good idea of what you buying. Especially when you’re planning to pay $44 billion dollars for it, right?
So, this whole secrecy about insights of the platform seems like a valid reason not to invest in Twitter. However, at the start of this deal, both sides agreed that if Musk abandons, he has to pay $1 billion dollars for Twitter.
The announcement letter sent directly to Twitter’s CLO Vijaya Gadde said that Elon Musk ends the deal because the platform “appears to have made false and misleading representations”.
What’s the reaction of Twitter?
It’s not hard to guess. The board is not happy. Deeply NOT happy.
Twitter chairman Bret Taylor tweeted this:
On July 10th, the next day after this tweet, Twitter hired a corporate law firm and actually is going to bring the case to the Delaware Court of Chancery.
Now, the question is - could Elon lose the case and actually be forced to buy the platform even without the all disclosed information? Or could this be a huge blop to Twitter’s team (well, at least they’d get that $1 billion)?
By the way, Elon Musk tweeted this himself. Adorable meme.
COINFLEX IS FLEXING WITH A PLAN TO RECLAIM $84 MILLION
It seems like the crypto investment, and trading platform CoinFLEX is living better days. At least, trying to.
The company (as many others now in crypto) suffered from liquidating problems and was forced to freeze withdrawing funds. The first good news is that company is planning to return the option to make withdrawal available again, it’s just not that clear when.
The second good news is that CoinFLEX entered arbitration to recover $84 million in losses from a whale (a user with a lot of crypto). At first, this “whale” was anonymous, but now CoinFLEX co-founders Sudhu Arumugam and Mark Lam claim that the secret individual is a well-known Bitcoin evangelist Roger Ver, aka “Bitcoin Jesus”.
Roger Ver took a debt that later couldn’t cover. And it made the company freeze its withdrawals three weeks ago.
CoinFLEX not long ago stated that Ver is in debt of $47 million, but on Saturday, co-founders Arumugam and Lam updated that the amount is $84 million. Interesting…
It seems that CoinFLEX has tried to solve this problem without entering arbitration: “Throughout the process, we kept the individual fully informed and he had cooperated with us and promised to pay or increase collateral to cover the shortfall but in the end, the promise proved empty.”
Roger Ver, on his behalf, disagreed with the allegations, and denied them from the very beginning:
But, I guess, his disagreement is not going to do anything good for him. Hopefully, the situation will be over fast and other consumers might be able to withdraw their funds again.
AXIE INFINITY SHOOTS UP TO 205%
The well-known play-to-earn Metaverse game, Axie Infinity, regains its popularity.
The first and probably only question - HOW?
It’s Axie Infinity land NFTs. At least, NFTs are one of the few factors that contributed to the massive 205% increase. Axie Infinity managed to generate $1.3 million worth of sales in one week! That is just amazing;
Another factor may have been the introduction of staking support. This update enabled Axie Infinity land owners to earn weekly rewards in the AXS token, which is the native game’s token. From the 4th of July (that’s when the update was launched), more than 90% of the circulating supply has been staked. So that’s also a piece of great news!
Another update - a new game called “Origin” - has been launched, and this early-stage mode enables users to trade, collect, and battle each other with in-game assets - Axies.
Axie infinity co-founder Jeff Zirlin commented that “nature is healing”. I hope that in a long run, it will be perfectly healthy.
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COLD BEER
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Disclaimer: This newsletter is strictly educational. None of this information is intended to be financial advice. Always do your own research and act responsibly with your profits.