Singapore, SINGAPORE – In a series of unfortunate events, TenX, a cryptocurrency debit card company that raised US$80 million in an ICO in 2017, announced that its co-founder Julian Hosp has stepped down as president. The statement said that the current CEO of TenX Toby Hoenisch “will be driving the business forward solely.”
Hosp addressed members of the community in an emotional video that was also shared on Twitter.
Important News: I am stepping down as TenX president https://t.co/Tv5MCS7LSw
— Dr. Julian Hosp (@julianhosp) January 9, 2019
In the video, he says:
“It became clear to us as founders that the only way forward is to mutually part ways, and that means I will be stepping down as the president of TenX.”
The news comes as another blow to an unfortunate string of setbacks to the Singapore fintech start-up. TenX has struggled since Visa suspended its card issuer, WaveCrest, in January 2018. In January 2019, a year later, their website claims that they’re still working to get the card out “as soon as possible”. In March 2017 TenX raised US$1 million from famous investors and was backed by industry giants such as Fenbushi Capital with Bo Shen and Vitalik Buterin which contributed largely to their success, at least at the time.
His departure comes around a month after a video appeared which links Hosp to Lyoness, an Austrian discount-shopping service that has been found by several courts to be an illegal pyramid scheme. An official statement was released on the TenX Reddit which both confirms Hosp’s involvement with Lyoness as well as claim that:
“We would also like to clarify that the stories contained in the online articles and Julian’s past affiliations with Lyoness bear no relevance to TenX, and TenX has had no connection, association and/or affiliation with Lyoness at any time.”
Following the announcement, Coinmarket cap shows that TenX’s token (PAY) suffered a sharp drop in prices after a period of relative stability down to US$0.16.