In recent developments, customers of Nigeria’s crypto trading firm, Patricia Technologies, have voiced their strong opposition to the company’s move to convert their assets into equity shares.
A number of customers have reportedly received offer letters signed by Patricia’s founder, Hanu Fejiro, but have refrained from signing them, asserting that this conversion essentially means parting with their funds without their consent.
The customers are insistent on having their crypto assets returned to them in their original form, rather than in the form of Patricia Coin, the company’s newly created token.
Patricia Technologies claimed that a hacking incident earlier this year resulted in the loss of approximately N2 billion in customer assets, which prompted the decision to convert these assets into Patricia Coins.
However, customers are alleging foul play and are demanding the reinstatement of their initial assets.
In response to this situation, some customers have organized a peaceful protest in Lagos, scheduled for Tuesday, October 24, 2023, to press for the return of their crypto assets.
Patricia Technologies, on the other hand, has been attempting to dissuade customers from going through with the protest, stating that it could deter potential investors from engaging with the company.
One of the concerned customers expressed their frustration, stating, “The last Zoom meeting we had with the company was more than four weeks ago.
Hanu Fejiro made mention of investors bringing money.
The investors that had not come over the last six months that we have been on this issue, is it now that they will come?
If truly the protest is going to stop the investors from bringing money, then it’s worth it. We can’t wait anymore.”
The Offer Letter, titled ‘Offer to Convert Debt to Equity in Patricia Technologies Limited,’ presented by the company’s founder, outlines the proposed conversion:
“We write in respect of the above. Further to various discussions held between our duly authorized representatives and your good self on the above offer, we now offer to you the option of converting your debt in our Company to equity, thereby making you a shareholder in our Company.
In the event that you are favorably disposed to accepting this offer, kindly sign (electronically or manually) in the space provided below for that purpose and return it by electronic mail.
Upon receipt of your acceptance, we shall promptly ensure that all necessary documentation to perfect the conversion shall be made available to you for your review and execution.
We look forward to receipt of your acceptance not later than seven days following receipt of this letter and welcoming you on board our ship.”
This situation continues to raise questions and concerns within the cryptocurrency community and the wider financial industry in Nigeria.
Patricia Technologies faces a challenging period as it navigates the demands of its customers while addressing allegations of fraud.
The outcome of this situation remains uncertain, with the protest scheduled for October 24th serving as a significant point of contention.
