Sydney Crypto boss $267MILLION windfall disappears: Michael Dunworth

Aussie’s $267MILLION windfall disappears in an instant: Crypto boss says he may have worked for 10 years for NOTHING

  • Michael Dunworth, 36, spent a decade building up his cryptocurrency company
  • He then agreed a deal to sell his company Wyre for $2.2 billion to US firm Bolt
  • Cryptocurrency market crashed shortly after the deal and Bolt pulled the pin

An Aussie crypto boss has seen his $267m windfall disappear after the US firm he was selling his business to pulled out. 

Michael Dunworth, 36, from Sydney, spent a decade building up his cryptocurrency payments company Wyre before agreeing a deal to sell it for $2.2 billion to US firm Bolt. 

He was set to cash out his 12.5 per cent stake to the company but cryptocurrency markets crashed shortly after the deal. 

Michael Dunworth, 36, from Sydney, spent a decade building up his cryptocurrency payments company Wyre

Michael Dunworth, 36, from Sydney, spent a decade building up his cryptocurrency payments company Wyre

He was set to cash out his 12.5 per cent stake but the cryptocurrency market crashed shortly after the deal

He was set to cash out his 12.5 per cent stake but the cryptocurrency market crashed shortly after the deal

Bitcoin is down 60 per cent to $28,280.93 per coin and the US tech sector has also seen valuations plunge, prompting Bolt to renege. 

Mr Dunworth revealed he is heartbroken after returning to Sydney from holiday to discover the deal was dead. 

‘I suppose money isn’t really in the bank until it’s in the bank,’ Mr Dunworth told The Australian Financial Review.

‘I’m trying to be as realistic as possible. Otherwise, you’re only going to break your own heart. But there is the thought that I could have worked this whole 10 years for zero dollars.’

Mr Dunworth said market conditions have changed a ‘lot very quickly’ and explained how Wyre had been acquired during a ‘pretty chaotic time’ when cryptocurrency was experiencing a ‘bull run’.

The company had been in the process of transferring 40 out of 50 of its United States money licences over to Bolt, worth about $1million, before the deal was pulled.

Mr Dunworth revealed he is heartbroken after returning to Sydney from holiday to discover the deal was dead

Mr Dunworth revealed he is heartbroken after returning to Sydney from holiday to discover the deal was dead

The company had been in the process of transferring 40 out of 50 of its United States money licences over to Bolt, worth about $1million, before the deal was pulled

The company had been in the process of transferring 40 out of 50 of its United States money licences over to Bolt, worth about $1million, before the deal was pulled

Now, Mr Dunworth said the company could either look for another buyer or move towards listing on the stock exchange.

‘We had multiple parties interested last time, and though the market has changed, I’d be surprised if that wasn’t the case now,’ he said.

‘And given we’re not actually flat out busted or bankrupt, and are still growing, it’s still likely that someone out there might want to buy us.

‘But the silver lining is Wyre has still got a lot of value in it, and we’ve still got revenue and growth, and that kind of thinking is what’s keeping me mentally comfortable at the moment.’

Bolt, valued at $US11 billion in January, has not revealed why it pulled the plug on the deal. 

However, it said it would continue its partnership with Wyre as independent businesses.

‘We will continue our existing commercial partnership with Wyre to pave the path of crypto integration into our ecosystem, bringing Wyre’s innovative crypto infrastructure to the world,’ Bolt’s CEO Maju Kuruvilla said.

Source

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