In Singapore, the founders of Cake, Julian Hosp and U-Zyn Chua, are arguing about what to do with their crypto company. Cake’s prestige project is DeFiChain (DFI) and so the dispute is having an impact.
DeFiChain (DFI) has crashed and in the background, founders Julian Hosp and U-Zyn Chua are negotiating which of them will take over the crypto company Cake (formerly Bake). Cake had launched DeFiChain, but Hosp and Chua are at odds. Chua filed for Cake to be liquidated by the courts back in December. Hosp countered last week with the offer that Chua should pay him off and take over Cake completely. DeFiChain critic Lorena B. takes this mixed situation on X as an opportunity to take a closer look at various future scenarios for Cake:
– The expert considers the liquidation of Cake to be unlikely. Even if DeFiChain and the associated ecosystem are “irreparably destroyed”, writes Lorena B., Cake /Bake is still likely to be worth more than zero.
– It must therefore be assumed that both Julian Hosp and U-Zyn Chua are playing poker in their moves to force a good deal for themselves.
– U-Zyn Chua has agreed in principle on an internal Cake channel to take over Hosp’s (and wife’s) shares. Lorena B. presents a screenshot as proof, where Chua is already looking forward to resuming cooperation with former colleagues.
– However, the expert believes that this statement is also merely tactical. It is unclear whether Chua will be able to finance the takeovers. It is also uncertain whether the staff at Cake would follow him. Furthermore, Chua was previously CTO (technical director) of Cake and therefore also of DeFiChain. He should therefore know that the DeFiChain construct can hardly be saved.
– That leaves Julian Hosp, who enjoys a high reputation as a crypto influencer in the DeFiChain community. Lorena B speculates that if Hosp takes over Cake, he will probably increase marketing expenditure and perhaps trigger further hype for DeFiChain.
– She concludes that the takeover negotiations between Julian Hosp and U-Zyn Chua are about haggling over the price. She believes that Hosp, as a “narcissist”, has no choice but to somehow continue DeFiChain and Cake.
– From Lorena B.’s perspective, the DeFiChain investors, who indirectly have to pay Cake’s employees, legal costs and other expenses, will lose out in any case.
One thing is clear: Julian Hosp and U-Zyn Chua have until April 2 to reach an out-of-court settlement. Otherwise, the court in Singapore will either grant an extension or decide to liquidate Cake. The two quarrelling parties have become publicly taciturn.
Conclusion: Hosp and Chua’s egos destroy Cake and DeFiChain
Julian Hosp is notorious in large parts of the crypto scene as a “blender”, his past with the Lyoness pyramid scheme is well documented and his involvement in the TenX crypto project ended in a fiasco for investors. Compared to Hosp, U-Zyn Chua is a blank slate and has far fewer followers. However, both demonstrate strong egos in the battle for Cake and DeFiChain. For investors hoping that DFI and the associated stablecoin DUSD will get back on track, the situation is certainly not a desirable outcome, as it has a disastrous external impact. We’re staying tuned and stocking up on popcorn – because the saga of DeFiChain, Hosp and Chua and Cake, with its ever-changing twists and turns, never gets boring, at least if you’re not financially invested.
Leave a Reply