Fetch.ai claims ‘business as usual’ amidst opposing reports of insolvency
Crypto AI firm Fetch.ai said on Jan. 30 that it continues to operate as usual despite earlier restructuring proceedings. It said:
“As part of [our move to Dubai], Fetch.ai has been through a restructuring process which has included the administration of … ‘Fetch.ai UK Ltd.’ This was a factor of the restructuring and has not affected any part of our operations, including our network and token, which remain unchanged. It’s business as usual for the Fetch.ai team.”
That official statement comes alongside competing reports suggesting that Fetch.ai is in fact financially troubled. The Standard, the U.K.’s third-largest newspaper, quoted Fetch.ai’s advisors in a report today. Those advisors said that the firm experienced financial issues in late 2023 and appointed administrators to obtain rescue capital and secure a sale of its shares, business or assets.
Simon Hunt, the author of The Standard’s article, noted the difference between statements from the company and its administrators. In an X post, he wrote:
“… Why did your administrators tell us Fetch.ai needed to ‘find urgent rescue capital’ because you ‘ran into financial difficulties’?
Fetch.ai has not responded to Hunt’s comment.
Fetch.ai has been sold to consortium
An insolvency notice from the U.K.’s official public record indicates that Fetch.ai appointed administrators from ReSolve Advisory Limited on Jan. 23.
ReSolve told The Standard that it has “achieved a sale of the business and assets of Fetch.AI.” The report indicates that Fetch.ai has been purchased by Assmbl.ai, a consortium consisting of founders from one of the firms, though it is unclear whether those founders are members of Fetch.ai or ReSolve.
The Standard also commented on Fetch.ai’s native token, FET. It said that Fetch.ai saw losses of £16.7 million ($21 million) and wrote down its assets by £231 million ($293 million) as FET lost value in 2021 and 2022. The Standard added that the token is not owned by Fetch.ai and is unaffected by restructuring.
Current market data indicates that FET has a market cap of $516.4 million and is up 1.5% over 24 hours. It is among the 110 largest crypto tokens by capitalization.
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Filed under: Bitcoin - @ January 30, 2024 10:19 pm