Zug-based fintech Monetas is at the end of the road. The start-up's founder and Chief Executive, Johann Gevers, is embroiled in a bitter dispute at token firm Tezos.
Monetas, a start-up founded Johann Gevers for payment systems, is bankrupt. A court in Zug, Switzerland has sent the firm into liquidation proceedings, according to a notice in Switzerland's commercial register.
The bankruptcy isn't entirely unexpected: Gevers told investors six weeks ago that he was halting Monetas' development and letting his employees go because he didn't have the funding to continue. Only a skeleton of partners had remained with the start-up.
Won First Payment
Last month, Gevers portrayed the firm's health as far rosier, according to a letter seen by «Swissinfo»: Monetas had clinched its first commercial contract, the team was developing a solution for the client, and had even received its first payment.
The South African-born Gevers, who didn't comment on the bankruptcy ruling, founded Monetas in Canada five years ago, later transferring the firm to Zug's flourishing «crypto valley». The goal of Monetas provide payment services to populations with little or no access to banks or financial providers. Gevers' idea was widely lauded, and Swiss finance minister Ueli Maurer visited Monetas' offices earlier this year.
Focus Shifted to Tezos
In crypto valley, rumors made the rounds as early as this spring that Monetas was running out of money, and that Gevers hadn't been able to attract new investors. Around that time, Gevers managed to win investors for Tezos, a cryptocurrency start-up founded by Arthur and Kathleen Breitman. The Breitmans appointed Gevers to run their Swiss foundation, which subsequently conducted the largest initial coin offering on record – $232 million.
The couple now accuses Gevers, who also invested in the ICO, of helping himself to an outsize bonus from the proceeds. Gevers remains the foundation head, and is poised to emerge from the conflict as the unexpected winner, as finews.com reported last week.
