BitBet receivership formal application and letter of intent

As sad as it is, it appears BitBet has gone into receivership territory, and is therefore in need of a liquidator.

This letter of intent constitutes a formal offer from me, David François, senior lord of Bitcoin, TMSR~, to actually implement this liquidation, with the goal of maximizing stakeholder revenue, and if at all possible ensure operational continuity.

The actual implementation of the liquidation would consist of the following steps, as per Mircea Popescu’s description:

  • construction of the list of existing claims,
  • certification or rejection of each individual claim,
  • open sale of the disposable assets (either as a package, or separately),
  • payment of the liabilities on a best-effort basis, ordered by priority (certified bills, bet winnings & refunds, shareholders)

In order to accept my appointment as liquidator and proceed with these actions, I require:

  • A signed acceptance statement by Mircea Popescu, and Matic Kočevar,
  • the actual assets (cash, domain, code, database).

The transfer of the BitBet cash is to be made to the 1DavouTAsveznCFHsz688xvbrRAq4u2qm8 Bitcoin address and should include a 0.001 BTC fee that will be certified as a valid expense against BitBet.

The liquidation implementation will be charged against BitBet in the form of a certified 13.37 BTC bill for which I shall be the beneficiary.

The contemplated timeframe for completion of the liquidation is two weeks starting from the moment all the BitBet assets are under my control.

13 thoughts on “BitBet receivership formal application and letter of intent

  1. kakobrekla
    -----BEGIN PGP SIGNED MESSAGE-----
    Hash: SHA1
    
    Approval of BitBet receivership application;
    Signed by kakobrekla on 22 March 2016;
    
    This letter of intent constitutes a formal offer from me, David François, senior lord of Bitcoin, TMSR~, to actually implement this liquidation, with the goal of maximizing stakeholder revenue, and if at all possible ensure operational continuity.
    
    The actual implementation of the liquidation would consist of the following steps, as per Mircea Popescu’s description:
    construction of the list of existing claims,
    certification or rejection of each individual claim,
    open sale of the disposable assets (either as a package, or separately),
    payment of the liabilities on a best-effort basis, ordered by priority (certified bills, bet winnings & refunds, shareholders)
    
    In order to accept my appointment as liquidator and proceed with these actions, I require:
    A signed acceptance statement by Mircea Popescu, and Matic Kočevar,
    the actual assets (cash, domain, code, database).
    
    The transfer of the BitBet cash is to be made to the 1DavouTAsveznCFHsz688xvbrRAq4u2qm8 Bitcoin address and should include a 0.001 BTC fee that will be certified as a valid expense against BitBet.
    The liquidation implementation will be charged against BitBet in the form of a certified 13.37 BTC bill for which I shall be the beneficiary.
    The contemplated timeframe for completion of the liquidation is two weeks starting from the moment all the BitBet assets are under my control.
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    Reply
    1. David FRANCOIS Post author

      Looks like we’re getting closer to the actual doing, Mircea Popescu’s signed approbation:

      -----BEGIN PGP SIGNED MESSAGE-----
      Hash: SHA512
      
      In view of the reputation of the candidate and kakobrekla's acceptance, I'm approving the Bitbet liquidator application cited below.
      The sum of 750.5 BTC has been sent to 1DavouTAsveznCFHsz688xvbrRAq4u2qm8 via tx 18420d904a20f68f6be1bdd97677388452666a927407374966eb3ef97e6da5c5
      
      ==========
      
      This letter of intent constitutes a formal offer from me, David François, senior lord of Bitcoin, TMSR~, to actually implement this liquidation, with the goal of maximizing stakeholder revenue, and if at all possible ensure operational continuity.
      
      The actual implementation of the liquidation would consist of the following steps, as per Mircea Popescu’s description:
      construction of the list of existing claims,
      certification or rejection of each individual claim,
      open sale of the disposable assets (either as a package, or separately),
      payment of the liabilities on a best-effort basis, ordered by priority (certified bills, bet winnings & refunds, shareholders)
      
      In order to accept my appointment as liquidator and proceed with these actions, I require:
      A signed acceptance statement by Mircea Popescu, and Matic Kočevar,
      the actual assets (cash, domain, code, database).
      
      The transfer of the BitBet cash is to be made to the 1DavouTAsveznCFHsz688xvbrRAq4u2qm8 Bitcoin address and should include a 0.001 BTC fee that will be certified as a valid expense against BitBet.
      The liquidation implementation will be charged against BitBet in the form of a certified 13.37 BTC bill for which I shall be the beneficiary.
      The contemplated timeframe for completion of the liquidation is two weeks starting from the moment all the BitBet assets are under my control.
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      Reply
  2. znort987

    At this point, it would I think be useful to describe to laymen what the next steps are. Specifically:
    – if you have coin held in bets on the site (I do), is there anything I should do during the next 15 days ?
    – if someone is interested in purchasing bitbets.us, what should they do
    – generally, what should someone with an economic interest in bitbet do in the next 15 days

    Reply
    1. David FRANCOIS Post author

      There’s nothing to do if you have money currently held in bets, refunds and payouts will go to the address given for winnings.

      The implementation of the auction will be detailed here, and discussed in chan a few days in advance.

      Any party with an economic interest in BitBet whatsoever is encouraged to keep an eye on my blog/read #b-a logs, specific questions and comments are welcome to be posted here.

      Reply
      1. znort987

        Understood.

        Parsing the raw #b-a logs is generally very time consuming, so will check here regularly
        hoping to see summaries.

        And thanks for stepping up to clean up this mess.

        Reply
  3. Gojko Milovanovic

    Dear Francois, dear znort987,

    as posted on

    https://bitbet.us/bet/1249/alphago-will-defeat-lee-sedol-overall-in-march/#c5891

    here is how I read the events and how I would proceed.
    This is just a proposal, as, at the end, I am just a bettor waiting for the outcome of the ongoing trade.

    “Regarding the “withhold” proposal, making some math, here is what I see and how I would proceed.
    I apologyze in advance for the verbosity, but it is for the sake of clarity, for everyone.

    IMHO the report and the proposal I am about to make is fair and I hope my point of view will be shared also by those that are, or will be, in charge.

    So : there are 17.93766065 BTCs not legitimate winnings, so distributed :

    19YgUrvdgkaKavr2cUFbE5UqGGDyw1hEaM : 0.08360357 BTC – has 2.7101 BTC in 38 pending bets. Withhold.
    1D1jMVvtskv5RX8YcmwtgXyeRHDizaoohb : 0.11929717 BTC – has 0.1 BTC in 1 pending bet. Withhold,but not sufficient.
    176mTDHuGYoyPidjCkQQG8V6zSK3CrTKA2 : 0.11908936 BTC – has 1.3 BTC in 4 pending bets. Withhold.
    1LVVDPnvdSSdDJuyQnd9QJVGZ54rqAxU52 : 0.02842624 BTC – has 0.228 BTC in 12 pending bets. Withhold.
    1DNQnJUDLTDjm4UCtsNdSenospAANPsF2i : 11.15522842 BTC – has 50.63 BTC in 12 pending bets. Withhold.
    14wqgUXyHpuzyuwfYssfeLuL1YtZpeVkcR : 0.01189438 BTC – has 0.07 BTC in 7 pending bets. Withhold,but not sufficient.
    19gYdzkfeBiaUseTZVpga9F81fz1Si2Wez : 0.55793078 BTC – has 1.11 BTC in 1 pending bet. Withhold.
    14kTaLfMJ5VPKWufEzAcZCTZ741LZLCVMd : 0.11743359 BTC – NO PENDING BETS. Missing amount. See below
    197GetzehgtbDaSxyLzWDSnq8TTrsL9mwu : 0.46776462 BTC – NO PENDING BETS. Missing amount. See below
    18cAYS4jY59QXv4Sp9EpDLpbgyB7LRbCFe : 1.03444544 BTC – has 4.8 BTC in 5 bets. Withhold.
    1LqEMRTSU4E59zEhX8zrVTP5Un5t4AwvDX : 0.14375522 BTC – NO PENDING BETS. Missing amount. See below
    19qvvDa1rw6gqVuQTMy677rfLtMZj3UeXH : 0.01103423 BTC – NO PENDING BETS. Missing amount. See below
    16LZuQiLqRU1c36fX2QF5msi6FNaLhx3CP : 2.19349534 BTC – NO PENDING BETS. Missing amount. See below
    1Fg8GQBDrHyzCFdkLaSQtCckpeW5cZ2Sa : 0.21539022 BTC – NO PENDING BETS. Missing amount. See below
    18SHQxoDWPViDM6Puae46WNv6PZaoAFGHB : 0.53520508 BTC – NO PENDING BETS. Missing amount. See below
    18TqEY8eK5CZ9ChX8714ThtsKySjznXVsU : 0.53434890 BTC – NO PENDING BETS. Missing amount. See below
    1Pvve54XzuUzVu4Hru44JXWuSP6zcTo7qo : 0.01387644 BTC – NO PENDING BETS. Missing amount. See below
    1P9uqDHbrtixTguM51VJpdFerMmV2mPzfK : 0.53129502 BTC – has 0.73 BTC in 4 bets. Withhold.
    1PGX5YxZbJFFTHTJoPhPwZbjuMZnxYRUyw : 0.01128196 BTC – NO PENDING BETS. Missing amount. See below
    1Gqq5BmhdN7GNcbiUCUR7gFws2WUnAMaYx : 0.05286467 BTC – NO PENDING BETS. Missing amount. See below

    Therefore real missing amount is 4.37385306 BTC :

    0.01929717 from 1D1jMVvtskv5RX8YcmwtgXyeRHDizaoohb
    0.05810562 from 14wqgUXyHpuzyuwfYssfeLuL1YtZpeVkcR
    0.11743359 from 14kTaLfMJ5VPKWufEzAcZCTZ741LZLCVMd
    0.46776462 from 197GetzehgtbDaSxyLzWDSnq8TTrsL9mwu
    0.14375522 from 1LqEMRTSU4E59zEhX8zrVTP5Un5t4AwvDX
    0.01103423 from 19qvvDa1rw6gqVuQTMy677rfLtMZj3UeXH
    2.19349534 from 16LZuQiLqRU1c36fX2QF5msi6FNaLhx3CP
    0.21539022 from 1Fg8GQBDrHyzCFdkLaSQtCckpeW5cZ2Sa
    0.53520508 from 18SHQxoDWPViDM6Puae46WNv6PZaoAFGHB
    0.53434890 from 18TqEY8eK5CZ9ChX8714ThtsKySjznXVsU
    0.01387644 from 1Pvve54XzuUzVu4Hru44JXWuSP6zcTo7qo
    0.01128196 from 1PGX5YxZbJFFTHTJoPhPwZbjuMZnxYRUyw
    0.05286467 from 1Gqq5BmhdN7GNcbiUCUR7gFws2WUnAMaYx

    These 4.37385306 BTCs could be recovered by applying an extraordinary fee on next payouts.
    Considering the amount of BTCs in pending bets, an approximative 1% extra fee till the end of 2016 on all bets will be more than sufficient.

    Hope this helps.”

    Reply
  4. Mallory S.

    1. What sort of information will be made available to the public such that any interested parties may audit the process as it gets underway?

    2. What is the frequency with which we may expect updates?

    3. What is the current state of affairs as it pertains to the transfer of assets (the 750.5 BTC notwithstanding)?

    Reply
    1. brendafdez

      As a bettor or random guy of the interwebz, you have no leverage in this process. I’d say, take a seat, relax, wait for the auction if you’re interested in bidding. Keep reading the logs, popcorn-in-hand if you’re want to have a chance of better understanding what’s going on, but all in all, don’t expect to be invited to audit anything.

      And if you do have money stuck there, there’s good reason to believe that you’ll get back most, if not all, of it. No gox here. Even without your audit.

      Reply
  5. Arnold

    Guys, I have something important to say about this mess. PAMP – people around MP (of course, I don’t know that for sure, maybe it’s just Kakobrekla). Part I:

    1) In January I emailed MP / Kako asking whether they have a contingency plan. See below.

    2) When PAMP receive profit then that is cool. E.g. January 2016 brought them 93 BTC (also consider
    24 BTC unexplained expenditure on Tech). We can also presume that most dividends are received by PAMP.
    Honestly who would buy some fucking shares if you have to pay 50 BTC (!) just to be allowed to do it?!

    3) Just 1 comment: “Anyway, for a website that has been handled thousands of BTC so far, it is quite a surprise to see all this mess for just 18 BTCs”
    https://bitbet.us/bet/1249/alphago-will-defeat-lee-sedol-overall-in-march/#c5888

    4) But when PAMP encountered a loss (not the biggest in history of Bitcoin):
    “Bitbet, of course, holds no assets and consequently should in principle be dissolved on the first loss month.”
    How is it possible to grudge a supersmall 0.001 fee? It’s less than a cup of coffee!
    I do not run enterprise like PAMP and I’m an amateur however I always pay a fee.

    Shortened email and reply
    ——————
    Or maybe there is just one such person – M.Popescu (as I know, he established BitBet), and if something happens to him then business halts, full stop?
    So the main questions are:
    1) Is there any contingency plan?
    2) Have you considered adding a section describing this issue in FAQ?
    ——————
    yes there are contingency plans. no they will not be discussed, with anyone.
    not until after we’ve salted the earth where the last “parliament” / “presidential residence” etc stood.

    Reply
  6. Arnold

    Part II:

    1) Google for “Romanian Billionaire Saves OpenBSD”. Of course, it’s MP’s money and he may do whatever he wants.

    2) Real missing (overpayed) amount is 4.37 BTC, not 17. Is 5 BTC really a tragedy comparing to:
    a) the revenue generated by BitBet?
    b) assets of rich MP?

    3) Now do you recall someone saying “yes there are contingency plans”? Here is a cont. plan: without extensive consultation with bettors MP or PAMP made a decision to transfer all our assets to “senior lord of Bitcoin”.

    3) Mentioned lord already owns 13.37 BTC out of 750 transferred to him. Yes, I am nobody in BTC community, but I would gladly do the liquidation of BB within 3 months for 3 BTC.

    4) But NO liquidation was needed!! 750 BTC on one side and 5 BTC on another. WTF??

    Reply
  7. Pingback: BitBet final settlement on Trilema - A blog by Mircea Popescu.

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