The crypto exchange Paxful announced on Tuesday, April 4, the suspension of these activities. One might have expected the reasons for this choice to be financial given the bear market, for example. But the root causes lie elsewhere.
Internal dissensions
Ray Youssef, the co-founder of the Paxful platform called on platform users to withdraw their funds. This time around, it’s not to advise them on how to protect themselves from the fallout of FTX’s downfall. This call is the expression of a disagreement with Artur Schaback, the other co-founder of the company.
The reasons for the misunderstanding : a difference of view on the management of Paxful. This in a context where the company is facing operational difficulties, coupled with legal challenges. Not to mention, according to Youssef, that the situation has prompted several collaborators, considered decisive, to resign.
For Youssef, these elements justify the company putting an end to its activities by redirecting the users of its platform to another exchange. This is precisely the meaning of the tweet he published on this subject, explaining: “I couldn’t do it anymore, ethically, so I took massive legal responsibility, and I said […] that I was closing this business. He had a court order preventing me from doing anything, but I said fuck off.
Matter of personal interests?
Obviously, this decision, Artur Schaback did not digest it at all. “I didn’t expect it to be [une décision, Ndlr] permed. My goal is to reopen Paxful with a new business focus,” said the leader.
Although the latter recognizes the relevance of this choice, to a certain extent, he suspects Youssef of bad faith. This one would try, explains Schaback, to make him take the hat for the situation of the company by working on its relocation. Which would be, according to him, an attempt by Youssef to oust him from the management of the company. Of course, he denied the facts.
But it would not be the first time that such an initiative has been attempted against Schaback. According to the latter’s explanations, in 2021 already, Youssef would have tried to buy back all of his shares in the company. A project that fell through and which, according to him, would be at the origin of the situation that Paxful is going through at the moment.
It is unclear if the differences of opinion between the two co-founders of Paxful will settle quickly. At the moment, another platform called Noones has been suggested to users of the crypto exchange. Some of these are already active there according to the latest news.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of daily and weekly so you don’t miss any of the essential Tremplin.io!
