Tezos’ founders are attempting to make its own investors foot the bill for the three US lawsuits they themselves brought against the project.
Founders: Tezos Foundation Should Foot Lawsuit Bill
As Reuters reports today, the latest episode in the near six-month Tezos saga has seen Arthur and Kathleen Breitman demand the custodian Tezos Foundation cover legal costs associated with the class action lawsuits.
The lawsuits stem from investors angry at the lack of activity since Tezos closed its giant $232 million ICO in June. The Breitmans have been in a dispute with the Swiss Foundation’s president Johann Grevers over how the project’s resources were controlled for several months.
When details became public, panic appeared to set in among ICO contributors, with major backer Tim Draper even getting involved to defend the embattled developers.
In a rare public comment at the Money20/20 conference in Las Vegas in October, Kathleen Breitman said:
I mean, it stinks – it stinks. […] Like, we’re both really embarrassed about the situation.
Now, however, the strategy to rekindle Tezos’ roadmap appears to involve “indirectly” making investors pay for their own damages claims, Reuters continues.
‘Initial Clown Offerings’
Those who paid Bitcoin and Ethereum into the ICO have yet to receive any form of return on investment or usable product or service, with Draper remaining among the increasingly few voices of belief in what the Breitmans’ creation can accomplish.
Online commentator Chris DeRose meanwhile called the situation a “comedy of errors” on Twitter, echoing similar reactions appearing over the last few weeks.
— Chris DeRose (@derose) December 1, 2017
Pressure has meanwhile been mounting due to both Bitcoin and Ethereum leaping up in value in the interim – approximately four times over since the June buy-in.
Blockchain venture founder Tim Parsa commented in response to DeRose:
2018 will be the year of legit ICOs: great teams with working products and traction solving huge global problems with public blockchains and tokens that extend and amplify the real-world use-cases that those products address.
2017 ICOs = Insane Clown Offerings.
What do you think about the latest developments at Tezos? Let us know in the comments below!
Images courtesy of
Published at Sat, 02 Dec 2017 18:15:24 +0000