Crypt exchange CoinFlex claims Roger Ver is behind a debt of 47 million dollars

Digital asset exchange CoinFlex is locked in a public battle with longtime cryptocurrency investor Roger Ver over a $ 47 million debt, reflecting the latest saga unfolding in the midst of a market crash.

On Tuesday, CoinFlex CEO Mark Lamb called Roger Ver, nicknamed “Bitcoin Jesus” for his evangelical views early in the industry, as the investor who failed to pay $ 47 million of stablecoin USDC as part of a margin call.

USDC is a stable one-to-one currency denominated in US dollars. A margin call is a situation where an investor must commit to more funds to avoid losses on a trade made with borrowed cash.

CoinFlex stopped withdrawals for customers last week. Lamb revealed Monday that an individual investor’s account went into “negative equity.” The company will typically automatically liquidate the investor’s positions. But this particular investor had an agreement with CoinFlex that did not allow this to happen.

In return, the investor had promised “strict personal guarantees around account equity and margin calls in exchange for not being liquidated,” CoinFlex said.

At the time, Lamb did not name the investor. But on Tuesday, the CoinFlex boss claimed that it was Ver who owed the company money. Lamb said Ver has been notified of the default.

“He had extensive experience in filling up margins and meeting margin requirements under this agreement. We have talked to him on telephone conversations often about this situation with a view to resolving it. We still want to resolve it.” sa Lamb i a tweet.

But Ver denied that he is the investor behind the debt. Ver said that a counterparty owes him “a significant sum of money” and that he is currently “seeking back” of his funds.

CoinFlex’s Lamb said that the debt is “100% related” to Ver’s account and said that the company “denies that we have any debt due” to Ver.

“His statement is clearly false. It is unfortunate that Roger Ver has to resort to such tactics to divert his responsibilities and responsibilities,” Lamb said.

Ver has been active in the cryptocurrency industry for more than a decade, invested in several companies and co-founded Bitcoin.com and Blockchain.com.

On Monday, CoinFlex announced plans to issue a new currency called the Recovery Value USD, or rvUSD, to increase its $ 47 million deficit. The company offers 20% interest on the coin to attract investors.

The CoinFlex-Ver saga is the latest drama to unfold as a result of a drop in cryptocurrency prices in recent weeks that has wiped billions of dollars of value out of the market during what was called a new “cryptocurrency winter.”

Three Arrows Capital, a hedge fund that invests in digital assets, has thrown itself into liquidation, CNBC reported on Wednesday. Meanwhile, a number of companies, including the lending company Celsius, are facing a liquidity crisis and crypto companies have gone through layoffs.