The crypto company Cake will not be dissolved. This was decided by a court in Singapore, where co-founder U-Zyn Chua had applied for liquidation. The second co-founder Julian Hosp rejoices. Is the dispute over?
The drama surrounding the Cake Group dispute between founders Julian Hosp and U-Zyn Chua has come to an end, at least for the time being. After several hearings, a court in Singapore decided to reject Chua’s application to liquidate Cake. This was announced by Julian Hosp and U-Zyn Chua on their respective X channels, albeit with different interpretations. The price curve of DeFiChain (DFI), Cake’s flagship project, remained in the basement even after the ruling.
In mid-April, the two founders once again clarified their fundamental positions in court. While U-Zyn Chua accused Julian Hosp of misusing company funds, his opponent remained on the defensive. The judge now ruled that the controversies between the founders were not reason enough to break up Cake. Julian Hosp notes that, according to the ruling, Cake is a profitable company. U-Zyn Chua, on the other hand, writes that he is now consulting with his lawyers to prepare the next steps.
Julian Hosp is CEO of Cake (formerly Bake) and the company welcomed the ruling in a post on X. Chua says he remains a shareholder and director. He regretted that even after six months, no viable solution had been found for the future of Cake. In the meantime, both founders had made each other offers to take over Cake, which were ultimately rejected or withdrawn. U-Zyn Chua emphasizes that the court expressly did not look into possible misconduct by Hosp. The allegations were serious and apparently also brought law enforcement authorities onto the scene.
Conclusion: Does “forced marriage” between Hosp and Chua Cake help?
We have reported on the process from the beginning and also observed the consequences for DeFiChain (DFI). The legal wrangling accelerated the downward trend in the price curve, with DFI currently trading close to last week’s all-time low. It seems very difficult to see whether Julian Hosp and U-Zyn Chua can now come together constructively. However, at least the Cake workforce can be pleased that the company will continue to exist. We will have to wait and see what Julian Hosp and U-Zyn Chua come up with now to get Cake and DeFiChain back on track.
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