Bitfinex and a blockchain project launched by Kim Dotcom have "mutually agreed" to part ways, scuppering a planned initial exchange offering (IEO) for the controversial internet entrepreneur.
Citing the current “regulatory environment” and the “risks associated with raising funds” for the project, Bitfinex said in a blog post Wednesday that it was in the interest of its "community" not to host the sale of Dotcom's kimcoin token.
Dotcom was notably the founder of Megaupload, a file-sharing site shut down in 2012 for violating piracy laws by the U.S. Department of Justice. He's currently still in the process of appealing extradition to the United States from New Zealand where he resides.
The K.im project is a blockchain-based content-monetization network, touted on its website as "providing a comprehensive suite of advanced services and technologies to manage, protect and sell every digital content."
Image via Kim Dotcom/Twitter
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2023, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.