CoinFLEX, a cryptocurrency investment platform, plans to dispose of bad debt through a new $47 million token offering to address its liquidity shortfall and resume user withdrawals. The new coin, Recovery Value USD (rvUSD), will have a $1 value per unit. It intends to assist CoinFLEX in recouping $47 million in losses sustained by a failed attempt to liquidate an account after it fell into negative equity. The corporation announced that it would give it from June 28 through July 1 and hopes to begin withdrawals by June 30. CoinFLEX CEO Mark Lamb said in a blog post, “We have been speaking to potential large buyers and believe there is significant interest in the terms presented,” CoinFLEX CEO Mark Lamb maintained in a June 27 release that the person whose account turned negative “is a high-integrity person with large means,” even though the person’s name is still unknown. Hi everyone, we’re sharing our latest update on plans for re-enabling withdrawals on the platform 👇https://t.co/34brwoDYuL — CoinFLEX (@CoinFLEXdotcom) June 27, 2022 CoinFLEX Opened Non-Liquidation Recourse Account In most cases, the cryptocurrency lender closes accounts before they have no equity. Lamb clarified that, in this case, CoinFLEX opened a particular “non-liquidation recourse account” in which it pledged not to liquidate the account, and the borrower agreed to maintain it with a significant amount of equity. “Sophisticated Investors” who are non-U...
