Things can get out of hand when you wake up with $230 million in your Bitcoin and Ether wallets. And when Bitcoin and Ether almost double their value in three months, you can bet the circus will be in town.
This is the case of Tezos, one of the most hyped Initial Coin Offerings (ICOs) of 2017. Just three months ago, the cryptocurrency project – a future worthy competitor of Ethereum many have claimed at that time – raised $232 million worth of Bitcoin and Ether in just 13 days.
Flash forward to the day of this article, the total amount raised is worth actually over $400 million. Yet, no real signs of progress, no functional blockchain, no prototype, not even an update of the situation. Why? According to an extensive Reuters report, an internal power struggle is happening behind the scenes . This power struggle has already delayed the launch of the blockchain for next year.
Who are the parties fighting? Tezos founders Arthur and Kathleen Breitman in one corner and president of Tezos Foundation – the company that helped the couple through the legal process and through the ICO in general – Johann Gevers.
This is attempted character assassination. It’s a long laundry list of misleading statements and outright lies.
The Breitmans sent a long letter to the other two members of the Foundation board urging them to remove Gevers while accusing him of “self-dealing, self-promotion and conflicts of interest”. The two members proposed Gevers to step aside for a month until the matter is settled but the president refused.
“This is attempted character assassination. It’s a long laundry list of misleading statements and outright lies,” Gevers said claiming the Breitmans are trying to take control of the foundation as if it were their private entity. Worth mentioning is that the funds raised in July are currently held by Tezos Foundation.
The initial plan was for the Foundation based in Zug, Switzerland to acquire the founders’ company in Delaware, USA and keep the Breitmans in the team. However, since the project ICO was a huge success, the founders have another plan and involves the Foundation creating two subsidiaries with Arthur and Kathleen serving as chief executive officer (CEO) and chief technology officer (CTO) at one of them. Moreover, the founders now want full control with the Foundation being limited to a supervisory and supporting role. In the initial plan, the Breitmans have a more of an advisory role rather than managerial. Thus, the problem…
It remains to be seen as how the situation will be solved. CryptoHQ will continue to bring updates and inform our readers of the outcome. Be sure to check our site daily.