Hodlnaut's Saviour? OPNX's $30 Million in FLEX Tokens Takeover

Open Exchange (OPNX) has stepped forward with an intriguing proposition — to take over the beleaguered crypto lender based in Singapore, Hodlnaut. The latter, which sought refuge in bankruptcy protection last August, now finds its restructuring journey under the keen supervision of a Singapore court.

The offer put forth by OPNX holds the promise of revitalising Hodlnaut's prospects. According to an undisclosed source, the bid involves the provision of $30 million worth of FLEX tokens to Hodlnaut. This strategic move serves a dual purpose: offering a partial payout to creditors and ensuring the efficient settlement of claims.

In this transaction, OPNX is set to claim a substantial stake in Hodlnaut, capturing a significant 75% ownership in exchange for the capital injection. Behind the scenes, the FLEX token, native to CoinFLEX exchange, plays a pivotal role in orchestrating this grand manoeuvre.

Notably, the minds behind OPNX, driving this ambitious endeavour, are none other than the founders Mark Lamb and Sudhu Arumugam of CoinFLEX. Interestingly, they have been joined by the esteemed “notorious” duo, Kyle Davies and Su Zhu, who once led the now-defunct crypto hedge fund, Three Arrows Capital (3AC). Mark expressed that, “We see a lot of potential in the Hodlnaut platform and look forward to working closer with them.”

A twist emerged when the interim judicial managers voiced their objection to the firm's directors directly emailing the bid from OPNX to users. Despite this hurdle, OPNX persisted and officially submitted the bid in court, setting the stage for a high-stakes battle for control.

As the narrative unfolds, fascinating details emerge about the proposed deal. Should Hodlnaut creditors give their approval, they stand to benefit from either a unique offering. They could receive 30% of their claims in the form of FLEX and other tokens or opt for a pro-rata payment of up to 95% of the total available corporate asset pool, whichever provides a more substantial return.

It All Fell Apart Amidst the Aftermath of the Terra-LUNA Collapse
Amidst the aftermath of the Terra-LUNA collapse last year, Hodlnaut found itself among the lenders grappling with financial strain. As a consequence, user withdrawals were temporarily suspended, and the firm's future hung in uncertainty. Seeking a way out of the turmoil, Hodlnaut opted for bankruptcy protection, placing its fate in the hands of judicial management.

Major Hodlnaut creditors initially leaned towards liquidation. However, founders Simon Lee and Zhu Juntao employed their persuasive prowess, convincing the creditors that selling the firm would prove more beneficial than a full-blown liquidation.

Nonetheless, the path ahead was not without its challenges. In April, the founders of OPNX, Su Zhu, and Kyle, faced the issuance of cease and desist notices by Dubai authorities. Allegations of violating local laws through the promotion and operation of an unlicensed exchange created further complexity in the unfolding drama. The duo clarified their roles, asserting that while they were instrumental in launching the trading platform for tokenised bankruptcy claims, they remained uninvolved in its day-to-day management.

During all that, another subplot unfolded, this time involving the liquidators of 3AC. With a substantial sum of $1.3 billion at stake, they have sought to recover the funds from Su Zhu and Kyle, the founders of OPNX.

What Does This Mean for the Future of Hodlnaut?
How will this acquisition reshape the future of Hodlnaut, and what implications will it hold for the broader crypto landscape? The path ahead remains shrouded in uncertainty as the fate of the bid hangs in the balance. Success is far from guaranteed, and both parties await a crucial decision that could redefine the future of Hodlnaut.