Patricia Exchange Launches Debt Token Amid User Withdrawal Challenges
Summary:
Patricia, a Nigerian cryptocurrency exchange has introduced Patricia token (PTK) for managing user debts. The CEO, Fejiro Hanu, confirmed that users could now convert debts into company shares. Some platform users expressed dissatisfaction with this new policy. Patricia, which operates remotely, is set to relaunch an app currently in Beta testing. This follows an earlier announcement about a security breach in May 2023, with customers reporting difficulties withdrawing funds.
Patricia, a Nigerian cryptocurrency exchange, has recently launched Patricia token (PTK), a token designed to handle users’ debts. CEO of the exchange, Fejiro Hanu, has verified that clients can now choose to convert their debts to ownership stakes in Patricia. This particular step is a crucial part of the company's debt restructure and fundraising tactics, he said in a statement. The CEO also stated that those choosing to convert their debt tokens to convertible bonds at a discounted rate within Patricia will have a chance to participate in the sooner-to-be-released application. To ensure full transparency, a third-party trustee, licensed by the Securities Exchange Commission, will manage these shares.
However, some users of the platform expressed disagreement with the new policy at an affiliated Patricia’s outlet, but their grievances fell on deaf ears. There is a circulated video on X social network, formerly Twitter, where the dissatisfied clients are seen waiting outside a locked office building, discussing their frustrations. The Patricia exchange was accused in the video of running away with their money.
Fejiro Hanu spoke to Cointelegraph about the video, describing it as deceitful and manipulating, and shared that the company operates entirely remotely. The office showed in the video was introduced in 2022 as an innovative hub. The hub provided free workspace for developers and cryptocurrency enthusiasts but Patricia doesn't actively operate there.
On being asked about the current solution for clients who can't withdraw their funds, Hanu stated that the soon-to-be-released Patricia application is currently undergoing Beta testing, where customers can explore the application before it is made available to the general public. He added a few customers who are part of the testing process are now redeeming their PUTX. Hanu also said Patricia is planning to refund their balances in installments following the reopening.
This news comes after the company’s announcement of a security breach and fund loss in May 2023. Despite the company’s initial claims that customer funds were safe, users have been having trouble accessing their funds since April.
Published At
10/21/2023 9:08:36 AM
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