Following the incident where BitBet ended up paying out the winners of the Jeb Bush nomination bet twice due to probably miner cartel action, BitBet is now seeking a receiver. The full announcement is reproduced below:
Kakobrekla notified me yesterday that he won't be signing the report above. Discussion hence has clearly delineated irreconcilable differences, but in any case – I won't be signing anything else. The truth being but one I have relatively little choice.
This means Bitbet will fail to uphold its contractual obligations with MPEx, and in due time be delisted by that exchange, and lose its status as a Bitcoin registered company. More pressingly, Bitbet is also currently bankrupt, by either "liabilities in excess of assets" or "standing claims it can't dispose of", whichever standard you prefer to employ. This means it is headed into receivership.
Bitbet's assets are currently comprised of its domain name and its codebase held by kakobrekla ; whatever goodwill with the public may survive the departure of its founders ; as well as a sum of Bitcoin entrusted to it by bettors, held by me. Bitbet's liabilities are currently comprised of various bills (such as the 17.94766149 BTC it owes as per this report, such as whatever fee it may owe the receiver for his trouble, and others as may arise), which are the most senior ; with the remainder to go to payouts to the bet winners ; with the remainder to go to shareholders, which are the least senior.
The job of Bitbet's receiver will be to
- Receive the domain name ; complete codebase & database ; and Bitcoin held for bettors ;
- Construct, on the basis of data in that database, the list of wagers that were sent to bets not yet closed and paid out ;
- Verify, on the basis of confronting that data with the list of Bitcoin addresses found therein and signed by me that all inputs are accounted for correctly. This will involve walking the list of bets and verifying they were indeed paid to an address on that list at the time specified ; and walking the list of addresses and verifying that all payments were indeed credited correcty to open bets.
- Certify or reject any and all claims against Bitbet, including the 17.94766149 BTC here in contention as well as any open bets.
- Sell any disposable assets, preferably through open auction held in #b-a.
- On the basis of the funds collected thus, adjudicate a pro-rata sum to be paid for bills ; or if the funds suffice to satisfy certified bills adjudicate a pro-rata sum to be paid to the adjudicated bet winners ; or if the funds suffice to satisfy bet winners adjudicate a pro-rata sum to be paid to shareholders and effect these payments.
Interested parties are invited to apply for the job publicly in #bitcoin-assets, stating their fee. Note that while I intend to abide by this instrument, nothing herein contained gives rise to a time-illimited liability on my part. If a receiver is not agreed upon in a reasonable interval, I will simply consider the matter moot.