The co-founders of the startup Status, which grossed $ 100 million under the ICO, has gone missing. Against them have filed a lawsuit from angry investors: the latter argue that they were cheated when buying tokens SNT. Then, investors were informed that the ICO they buy utility-tokens, that is, those assets that will not be a prerequisite for the pursuit of financial regulators. In the end, however, the opposite happened: now the campaign to raise funds for Status are considered illegal.
Status is positioned as an app with different areas of work. On the official website of the project program called "safe messenger cryptocurrency wallet and Web3 browser, which is created using the latest technologies." As a mission project developers have indicated that it aims to be a secure means of communication that protects human rights. He Status is designed to ensure the free flow of information, protection of the right to confidential conversations and promote the sovereignty of the people. In General, all sounds good, but now with the project had problems.
The home page of the project website looks like.
What happened with the project Status?
Counsel Selendy & Gay PLLC and Roche Cyrulnik Freedman LLP sent an open letter to the new York court, demanding to exert “maximum efforts to find Jarrad hope and Karl Bennetts beach” — co-founding Status. The letter mentioned the concern about the fact that soon the creators of the startup may disappear “in the mist of online obscurity”, according to Decrypt.
Recall startup Status registered as a company developing Web3 applications, including decentralized chat and web browser. Officially, the hope takes the place of the Director-General. In 2017, he was responsible for managing all processes of the ICO, whereas Bennetts beach was involved in promoting the sale of tokens.
The lawsuit against hope and Bennetts beach was filed in April. In it, the investors noted that the ICO 2017 was an unregistered sale of securities, therefore, the procedure is illegal. The victims want their money back plus interest in damages.
The price of tokens SNT has remained relatively stable, given the current situation. Over the past month, they rose by 12.9 percent.
Suspects have a Twitter account, official account Status is still regularly send messages. At the time of writing, the latest publication mentioned technology support Waku. It is dated yesterday — that is, the sixth of August.
🤫 People are asking what happened to the shh! – it’s been forked by @vacp2p as Waku and implemented in Status. Waku helps Status scale securely and is being actively upgraded and improved.https://t.co/SXiRN7b2jz
— Status (@ethstatus) August 6, 2020
The present whereabouts of hope and Bennetts beach are unknown. Lawyers investors have spent “significant resources” to the search locations on the Internet, and as mentioned in the letter. Together they even hired a private detective to search for suspects. But all their endeavours were not crowned with success.
The actual head office of the company’s Status is also unknown. Officially it was registered in Zug in Switzerland, while investors suspect that it’s just a place of registration of corporate e-mail.
Recall, class action suit against Status, filed in April, became part of a large number of claims from 42 investors from different countries. All of them represents one firm — Roche Cyrulnik Freedman. In April, her lawyers have filed 11 lawsuits against Binance, Block.one, BitMEX and other companies, accusing them of conducting a sale of unregistered securities. Investors claim billions of dollars of losses that must be restored.
Status representatives have so far refused to comment on the situation, they also can not confirm, have contacted Hope and Bennetts beach lately.
We believe that the situation was not pleasant. The events will definitely draw the attention of the masses to cryptocurrency industry and with a negative side. Again people will remember about the cons of the ICO format, which today does not enjoy its former popularity, and make incorrect conclusions about the state of Affairs in the niche coins.
I hope potential investors will not tolerate a relationship with a particular case on the overall picture. Still in the industry of the blockchain have enough cool projects that really change the world, and not hunting for money investors.
It seems that soon the situation may get a new turn. Of stay in our cryptodata millionaires.
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