OPNX – the project created by the defunct hedge fund Three Arrows Capital (3AC) founders – has been controversial from the very start. The exchange has now been reprimanded for conducting unregulated activity.

Dubai’s Virtual Assets Regulatory Authority (VARA) has issued a written reprimand to five OPNX founders, including Kyle Davies and Su Zhu, for carrying out virtual asset exchange services on an unregulated basis in and from the Emirate of Dubai as well as engaging in marketing, promotion and/or advertisement of OPNX services and its native token (FLEX) without the necessary permits from the regulator.

According to an official update, VARA said it became aware of OPNX soliciting and collecting personal data from the public to participate in its new exchange. It further added that the platform had been engaged in marketing the exchange without setting up warranted restrictions for the residents of Dubai and the United Arab Emirates (UAE).

(by Chayanika Deka)