February 11, 2019, 4:54PM EST
• 7 min read

Reading the fine print: Basis pre-sale burns non-USD investors

Quick Take

  • Basis, the highly anticipated algorithmic stable coin project, shut down and announced it would return 90% of capital raised to its investors
  • It didn’t mention that it was actually contractually obligated to do so
  • Both USD and ETH/BTC investors received 90% of returned capital, USD investors at a notional value of 1:1, whereas Ether investors saw as much as an 85% discount to par
  • Some of these investors have reached out to The Block under anonymity to share how the marketing of the sale differed from the underlying fine print in the pre-sale SAFT agreement

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