In a surprising turn of events, Ray Youssef, the CEO of the popular peer-to-peer cryptocurrency exchange, Paxful, announced his resignation from the company.
On the 17th, of April 2023, Youssef made his first official announcement on Twitter where he said;
“Today is my last day as CEO of @paxful I have officially resigned. The full story shall soon be revealed. It is madness but blessings everywhere for those who put the people first. Suits can wait in line. Just wait and see”
https://twitter.com/raypaxful/status/1648085088297533444
On 18th, April 2023, Yousef, CEO and co-founder of Paxful took to Twitter to share the news and information about his departure. In his tweet, he explicitly stated that he is resigning with an intact operational wallet, users secure and safe funds, and users Celsius made whole. He also expressed his gratitude to the Paxful team and the company’s community of users for their support and loyalty over the years.
Under Youssef’s leadership, the company has grown to become one of the most widely used peer-to-peer Bitcoin marketplaces, with over 5 million registered users and a presence in more than 100 countries.
https://twitter.com/raypaxful/status/1648283151410577409
Ray Youssef’s resignation from Paxful appears to have been triggered by a challenging and demanding circumstance. The fact that the co-founder was suing him and the firm, refusing to pay salaries, and attempting to have him held in contempt of court would undoubtedly create a hostile work atmosphere and make it impossible to properly operate the company.
It’s also unfortunate that this situation resulted in the loss of top talent at Paxful. Losing key employees can be a significant blow to any company, and it’s commendable that a small team of dedicated individuals was able to keep the platform operational despite these challenges. According to Youssef, he and a couple of employees have been doing the job of 100 people as a result of their exit from the company.
Paxful and the growing hostile regulatory environment in the US
Earlier in the month, Ray Youssef announced the Paxful marketplace will be shutting down. This was due to mass exodus of talents from the firm and regulatory changes in the peer-to-peer market in the United States.
In a tweet, Youssef said the US system is designed to hurt users. In a warning to the people of the global South, he said “NEVER work with any financial company in the US or even any that serve Americans at all. They will confiscate your funds and not even give you a reason because they cannot by law. The system itself is designed to hurt you.”
He further added that no US-based financial institution should be trusted. This is coming from the many issues Paxful users have been having on the platform specifically about account locking resulting in their inability to access their funds due to reviews which includes compliance.
The US has long been in the news for its hostile regulatory environment for crypto firms. Earlier, Kraken was fined $30 million for selling unregistered investment contracts as part of its staking program. Coinbase has noted plans to move some of its business abroad as a result of the growing stifling environment.
The news of Youssef’s resignation has raised questions about the future of Paxful and who will take over as the company’s new CEO.
The cryptocurrency community on Twitter has reacted to Youssef’s departure with mixed feelings, with some expressing concern about the potential impact on Paxful’s future growth and others wishing Youssef well in his future endeavours.
Read Also: Paxful suspends its marketplace
