The bond trading volume is sluggish, but the platform currency is skyrocketing. What happened to the Open Exchange founded by Su Zhu recently?

Original Author: Grapefruit

Recently, the encrypted debt trading platform OPNX (Open Exchange) founded by Su Zhu, the founder of Three Arrows Capital and others, has successfully gained the attention of the encryption community with many good news, such as the increase in trading volume and the skyrocketing price of the platform currency OX.

On June 26, OPNX tweeted that the single-day trading volume has exceeded 50 million US dollars, and the average daily trading volume is 41 million US dollars. Since its platform token OX was launched on June 1, it has gone up from $0.011 to $0.044, with a maximum increase of 300%. Now the price has fallen back to $0.036, with a total market value of about $119 million. Among encrypted assets Ranked 233.

Judging from the transaction data of the OPNX platform, the trading volume of this new encryption trading platform, which has only been online for 3 months, has already surpassed that of the established encryption trading platforms Crypto.com (24-hour trading volume is 79.63 million US dollars), Bitfinex (24-hour trading volume is 68 million US dollars). U.S. dollars) and so on.

It seems that these all indicate that OPNX is developing in the direction preset by the founder, but due to the particularity of the founding team, users have always doubted the platform.

On June 22, some community users suggested that OPNX’s BTC asset trading pair had inconsistent volume and price fluctuations or “false transactions”, which aroused extensive discussions in the encryption community. In addition, this OPNX, which was originally positioned as an encrypted debt trading platform, has already become a gimmick product, and the real business is actually contract transactions.

The combination of “distrustful founder + failed platform” has always lingered in OPNX, and it is difficult to fade away.

OPNX’s transaction volume of tens of millions was questioned as “false transactions”, but it was less than two dollars on the first day of launch

Since entering June, the good news released by OPNX has continued. On June 26, OPNX tweeted that the single-day trading volume has exceeded 50 million US dollars, and the average daily trading volume is 41 million US dollars, etc.; on June 25, it announced the launch of the first Launchpad project Raiser Raiser Raiser A permissionless credit market (RaiseR), by introducing a third-party credit evaluation agency, Raiser allows anyone to borrow based on their on-chain and social media credit scores without requiring any collateral (in fact, an optional model ). In addition, Raiser will also provide a trading market (RaiDEX) that allows bonds to flow freely in the market. View more (RZR), all OX stakers will share 10% of the RZR supply allocation; on June 24, OPNX announced the launch of the credit currency oUSD, which can be exchanged with USDT1:1; on June 1, announced the launch of a new governance token Coin OX and governance platform The Herd, OX allows users to trade for free through staking, and supports FLEX FLEX FLEX (FLEX) is a cryptocurrency launched in 2019 that runs on the Ethereum platform. The current supply of FLEX is 98,735,764.89 and the circulation is 0. The last known price of FLEX was $0.19987863, down -42.90 in the last 24 hours. It is currently trading on 6 active markets with a trading volume of $1,205.86 over the past 24 hours. More information can be found at . See more Conversion OX and more.

OPNX (Open Exchange) is home to three arrows capital founders Su Zhu and Kyle Davies and bankrupt exchange CoinFLEX CoinFLEX crypto earnings, flexUSD, AMM+ and note tokens, physical delivery crypto futures exchange and crypto repo market View more An encrypted creditor’s rights trading platform co-founded by Duoduo, which tokenizes the creditor’s rights in bankrupt encrypted projects for users to trade or use their creditor’s rights assets as collateral to release trapped encrypted asset liquidity. The platform debuted in February this year, and announced in early March that it had acquired all assets of the exchange CoinFLEX, including personnel, technology and tokens, continued to use FLEX as the platform token, reorganized it and renamed it Open Exchange.

Since the launch of the OPNX platform, its trading volume has attracted the attention of users. According to FLEX Statistics data, since June 23, the 24-hour trading volume of the OPNX platform has exceeded 50 million US dollars, the highest is 57 million US dollars, and the current 24-hour trading volume is 47.72 million US dollars.

However, the authenticity of the transaction data on the OPNX platform has been questioned. On June 22, encrypted trading user @Loris tweeted that by analyzing OPNX’s BTC perpetual contract daily volume data and comparing it with leading trading platforms, it was found that OPNX may have “false transactions”.

Loris pointed out that the normal volume and price data displayed on the head trading platform has the characteristics of consistent volume and price fluctuations (for example, higher trading volume should be accompanied by large price fluctuations) and stable baselines. The volume and price data of OPNX shows that the price fluctuations corresponding to the enlarged trading volume range are extremely small, while the price fluctuations are relatively large when the trading volume is reduced.

In addition, OPNX’s daily trading volume has independent and obvious rules relative to price fluctuations, so it is determined that OPNX may have “false transactions”.

Later, another crypto user commented that OPNX’s fake trading volume is so obvious.

From the BTC contract price trend chart data on the OPNX official website, it is consistent with what Loris said. Since June, the trading volume has surged regularly (usually at 8:00, 12:00, 4:00, etc. every day), and the trading volume The peaks in the bars are also mostly in a similar range, with huge volumes during low price volatility, very low volume during high price volatility, etc. At the same time, OKX OKX (OKX) is one of the world’s famous digital asset trading platforms, mainly providing currency and derivatives trading services for digital assets such as Bitcoin, Litecoin, and Ethereum for global users. Check the BTC price chart data and trends on more platforms, which are more in line with the law of volume and price.

BTC/USDT contract icon on the OPNX platform

BTC/USDT Contract Chart on the OKX Platform

OPNX’s response to this is that these trading volumes are due to the introduction of its market maker program. However, OPNX’s market maker incentive plan was announced as early as April 8. But now @Loris that tweet has also been deleted.

The reason why the trading volume has attracted so much attention is that the trading volume of OPNX was revealed to be less than $2 on the day of its launch on April 4. According to CoinDesk CoinDesk CoinDesk is a news site focused on Bitcoin and digital currencies. CoinDesk started operations in May 2013, founded by serial entrepreneur Shakir Khan, who is also an investor in BitPay, the payment processor for Bitcoin. In September 2013, Joe Martonis, former executive director of the Bitcoin Foundation, joined CoinDesk as a contributing editor at CoinDesk. CoinDesk also offers a bitcoin-related guide for those new to digital currencies. In January 2016, CoinDesk was acquired by Digital Currency Group for approximately $500,000 to $600,000. In January 2017, the company acquired blockchain data and research platform Lawnmower. In January 2021, the company acquired TradeBlock, a cryptocurrency data analysis company. See more reports, OPNX has only executed two transactions within 24 hours of going live, with a total value of $1.26. Later, OPNX officially clarified that CoinDesk’s transaction data of $1.26 was only from the contract and did not include the spot. In fact, the total transaction volume of the day was $13.64.

In just 3 months, the daily trading volume of OPNX increased from about US$10 to US$50 million. Officials can explain this data change as the result of a combination of factors, such as market maker plans, platform Coin OX, Launchpad new projects, etc., but this does not dispel the doubts in the hearts of users.

OPNX creditor’s rights trading has become a gimmick, and contracts have become the main force

In addition to the authenticity of transaction volume data, OPNX’s initial focus on debt trading has also become a gimmick product, and the multi-day trading volume of claim assets (also known as debt tokens) is almost zero.

At present, more than 99% of the trading volume of the OPNX platform is actually contributed by perpetual contracts. Taking the trading volume on July 3 as an example, the 24-hour trading volume of the OPNX platform was 68.12 million US dollars, of which the contract trading volume was 67.99 million USD, the spot trading volume is only $137,000, and debt tokens are included in the spot trading volume, which can be ignored.

This seems to run counter to the original positioning. At the beginning of the platform’s establishment, OPNX was a platform featuring creditor’s rights transactions, and planned to support the claim transactions of multiple bankrupt companies, including Celsius Celsius. Celsius is a centralized lending platform. It allows users to borrow and lend encrypted assets and earn income. The lending process is all done on the Celsius App. Up to 33 different cryptocurrencies are supported on the Celsius App. When depositing with Celsius, its native cryptocurrency CEL can be further used, and CEL holders can also receive a share of the profits earned by the company. In addition, Celsius also owns a bitcoin mining operation. In July 2022, it filed for bankruptcy protection due to serious insolvency. See more, FTX FTX FTX.com is a cryptocurrency exchange built by traders, for traders. Due to the run on liquidity crisis, FTX filed for bankruptcy in November 2022. See more, Genesis Genesis Genesis is the only full-service provider of prime brokerage in the encryption field, and it is also the signature of DCG (Digital Currency Group), whose role is to enable large institutions to contact and manage risks. Due to the lack of asset liquidity due to the FTX incident, it filed for bankruptcy protection in January 2023. See More, BlockFi BlockFi Secured Non-Bank Lender Offering Crypto Asset Backed USD Loans to Crypto Asset Owners See More, Voyager Voyager The First Full-Service Decentralized App For Travelers. See more, Three Arrows Captical and more.

The first credit token to go online is rvUSD ((Recovery Value USD+ USD+ USD+ is a stable currency that generates income, which generates an annual rate of return of 8-12% through daily rebase. It is completely liquid, yield-generating, low Risky DeFi asset portfolio (mainly lending protocols and stable-to-stable liquidity pools) provides support to allow (1) avoid losses and generate daily profits (2) instantly mint and cash out USD+ against USDC on request. USD+ is used for ( 1) Liquidity Management - Temporary storage of idle stablecoin cash (2) AMM trading and (3) leveraged yield farming. USD+ brings capital efficiency benefits to stablecoin usage, i.e. idle stablecoins and/or for major protocols Additional yield USD+ is currently on Polygon and expanding to other chains. We will enter the market by establishing USD+ trading pairs on leading AMMs: (1) Stablecoin boost pool on Balancer/Beethoven (2) ETH-USD+, Quickswap/Uni Matic-USD+ on V2, (3) Potentially, the curve. The advantage of USD+ is that we are able to maintain the peg without deploying our own funds - since USD+ can be instantly minted/redeemed with USDC, we are able to use flashl arbitrage Our mining pool oans, without our own capital, thus remains pegged. View more ++++++++ Tokens), are debt tokens issued by CoinFLEX, representing Roger Ver Roger Ver View more owed to CoinFLEX $84 million in personal debt. After CoinFLEX was acquired by OPNX, the KYC information and account balance of CoinFLEX users can be seamlessly migrated to OPNX as its first batch of customers, and the debt token rvUSD was also launched on OPNX.

However, since rvUSD was listed on OPNX in April, the price has been falling all the way, from the highest price of 0.62 US dollars to the current price of 0.15 US dollars, and the multi-day trading volume is zero, and there is almost no liquidity.

rvUSD Chart

The Celsius creditor’s rights token CELSIUS, launched on June 1, supports Celsius creditors to tokenize their own creditor’s rights and release the liquidity of their trapped funds. However, as of July 4th, the CELSIUS/USDT trading pair has not been traded since its launch. The trading volume has always been zero, the token price has always been a straight line, and there are only 8 sell orders on the order book.

Debt Token CELSIUS Trend Chart

From this point of view, OPNX has not developed into a default debt trading platform, and now the business has shifted to a traditional cryptocurrency exchange, and contracts have become the main force of the platform.

In fact, this has been traced for a long time. On April 4th, OPNX, a platform famous for debt claim transactions, was officially launched for the first time. The first function launched is to support cryptocurrency spot and derivatives trading services, not debt token transactions. Function. This is also described by community users as “under the guise of supporting encrypted claim transactions, the real business is actually a contract casino.” This also shows that OPNX’s business focus is on encrypted asset transactions, not debt transactions. After all, the types of assets and user groups for claim transactions are limited.

Additionally, the Dubai Virtual Assets Regulatory Authority issued a written reprimand to founders such as OPNX and its CEO on April 18. Said to operate and promote its digital asset trading platform OPNX without the necessary local license. This exposed OPNX’s compliance issues.

The haze of failure is difficult to fade away, can the plan of opening an exchange to repay debts be realized?

OPNX has attracted the attention of users through the short-term increase in trading volume and the short-term surge of the platform token OX, but the haze of the failure of the founder’s dishonesty and CoinFLEX’s suspension of user withdrawals has never faded away.

Three Arrows Capital liquidators are also seeking to recover $1.3 billion from its founders Su Zhu and Kyle Davies on June 27, according to business management firm Teneo Teneo Teneo allows long-term holders to benefit from market volatility without going through Token pairs pegged to transaction fees are traded. View more previous reports, Three Arrows Capital now owes about $3.5 billion in debt to 27 companies. However, the trading platform CoinFLEX suspended all user withdrawals due to the funding gap, and forced its creditors, investors, etc. to hold shares in the company.

The combination of “distrustful founder + failed platform” really made users unable to fully trust it, and OPNX received a lot of opposition in the early days of its establishment. When Su Zhu first announced the launch of the crypto debt trading platform on Twitter, one of the crypto community users commented below “You should focus on talking to your lawyer instead of starting a new scam”. Elsewhere, market maker Wintermute Wintermute View More CEO Evgeny Gaevoy Evgeny Gaevoy View More has said it will not invest in the new exchange founded by the founders of Three Arrows Capital; crypto venture capital Castle Castle Castle (CSTL) is A cryptocurrency. View More Nic Carter, Partner at Island Ventures Nic Carter View More later said the disreputable fraudster teamed up with other disreputable fraudsters to trade claims on a defunct fraudulent exchange. That actually sounds reasonable.

After OPNX went live in April this year, it tweeted and announced its main investors, including AppWorks, Susquehanna (SIG SIG for more), DRW, MIAX Group, China Merchant Merchant The tokens that support the MTO DeFi payment protocol enable point-of-sale terminals to Runs on the blockchain and brings consumer protection to crypto payments. See more Bank International (China Merchants Bank Hong Kong Branch), Token Bay Capital Token Bay Capital Token Bay Capital is a Hong Kong-based early-stage venture fund focused on identifying niche investment opportunities in digital assets and blockchain in the Asia-Pacific region. View More, Nascent Nascent View More, Tuwaiq Limited, etc. And said that these institutions not only provided funds, but also provided a lot of advice and assistance in terms of its vision, token economics, legal framework and decision to relocate to Hong Kong.

However, the list of investors announced by OPNX was quickly slapped in the face. DRW, Nascent, MIAX, Susquehanna (SIG) and others issued articles denying investment in OPNX. Among them, Nascent, DRW and other institutions stated that they did not participate in the financing of OPNX, but only invested in FLEX tokens in early 2021.

Subsequently, relevant personnel of OPNX stated that Su Zhu and Kyle Davies are no longer involved in the daily affairs of OPNX. However, the profile of the two is still @OPNX on Twitter, and they share data and progress related to the OPNX platform every day. Just yesterday, Kyle Davies was on Twitter Twitter Twitter is a social network service platform originating from the United States. On October 27, 2022, Musk completed the acquisition of Twitter and merged it into the newly established “X” company. According to Musk’s previous tweets, he will create an all-inclusive application, and mentioned that buying Twitter can accelerate this wish. See more Space said that the two founders of Three Arrows Capital will donate the “future proceeds” of the OPNX platform to creditors who suffered losses due to the fund’s bankruptcy last year.

This coincides with the user’s speculation that “OPNX is an important plan for Su Zhu and others to open an exchange to repay debts.” The exchange has always been considered as a good business for the encryption industry. Trading volume, there is also a net income of half to one bitcoin a day. So, can the desire to repay debts on the OPNX platform be realized?

After calculation, according to OPNX’s daily transaction volume of 50 million US dollars, the current pending order fee is 0.02%, and the order taker fee is 0.07%. OPNX’s daily fee income is 45,000 US dollars, and Sanjian Capital currently owes about 35 Billion US dollars in debt, it will take about 77,777 days to pay off the debt owed, about 213 years. If you add the rise of the platform token OX, the increase in transaction volume, and the future listing fee, the payoff speed may be accelerated.

However, it is worth noting that the current OPNX official telegram group has only 2,060 users, while the Chinese telegram group has 2,690 members (Su Zhu’s Twitter name has also been changed to Chinese “朱拜”). The number of community users is also in stark contrast to the 568,000 and 517,000 followers of Su Zhu and Kyle Davies.