OPNX Exchange, a digital asset trading platform spearheaded by the founders of Three Arrows Capital, also known as 3AC, a bankrupt crypto venture firm, has announced that it will shut down operations in a notice sent to the exchange’s users.
According to the official statement sent to the users of the platform, OPNX has stated that it will shut down and end operations by February 14, asking users to immediately withdraw funds that they have on the platform.
3AC’s Su Zhu and Kyle Davies were behind the venture, but no official statement has been released by the entrepreneurs.
OPNX to Close Down
In the statement, OPNX “strongly advised” its users to settle all positions by February 7, asking them to withdraw funds prior to February 14, after which the withdrawal functionality will be disabled on the exchange.
“We would like to inform you that OPNX.com will officially cease operations and shut down in February 2024,” read the notice.
Additionally, OPNX, short for Open Exchange, is a hybrid bankruptcy claims platform and crypto exchange that allows creditors to trade their claims against bankrupt crypto companies. It was founded shortly after the collapse of 3AC.
Price of Native Token Collapses
The native token of the crypto trading platform, OX, collapsed after the announcement was circulated on social media platform X (formerly known as Twitter). The token went from 38% from a price of $0.01 to $0.006 in less than an hour, as per the data from CoinGecko.
As pointed out in an X post by @wiseadvicesumit, “there is a rumor that the reason behind the OPNX closure is that their founders are now focusing on their new venture, OXFUN, which is an on-chain derivatives exchange.”
CoinFLEX and Formation of OPNX
CoinFLEX rebranded into Open Exchange after getting court approval for its restructuring plan. The CEO of the Seychelles-based crypto exchange, Mark Lamb, came together with Zhu and Davies and Leslie Lamb, the wife of the CEO of CoinFLEX, to head the OPNX exchange.
Before announcing its closure, the digital asset trading platform showed an interest in acquiring assets that belonged to Hodlnaut, a bankrupt crypto lending firm. It seems ironic that the exchange has now decided to wind down operations.
“We see a lot of potential in the Hodlnaut platform and look forward to working closer with them,” Lamb said at that time.
On the other hand, Davies stated that he would contribute a share of earnings from his newest crypto exchange, OPNX, to creditors who experienced losses from 3AC’s demise.