In the dynamic realm of cryptocurrency regulation, the European Union’s Markets in Crypto-Assets Regulation (MiCAR) underscores the imperative for transparency, especially among stablecoin issuers. However, the professional history of Gijs op de Weegh, founder and CEO of StablR, presents areas that merit closer scrutiny.
Professional Background
Gijs op de Weegh, a Dutch national, co-founded Payvision in 2002, serving as its Chief Operating Officer. Under his leadership, Payvision expanded to over 300 employees and reported a turnover exceeding €4 billion. This growth trajectory culminated in the sale of Payvision to ING in 2018 for €360 million.
Controversies and Legal Challenges
Despite its apparent success, Payvision’s operations during op de Weegh’s tenure were marred by significant controversies. The company faced allegations of facilitating money laundering and cybercrime activities. Investigations by the Dutch financial regulator, De Nederlandsche Bank (DNB), identified violations of financial laws and anti-money laundering regulations, leading to substantial penalties for Payvision and its executives.
Notably, op de Weegh was involved in contractual agreements with entities later identified as fraudulent. One such association was with Gal Barak, an Israeli national convicted of money laundering and investment fraud. Companies linked to Barak, onboarded by Payvision, defrauded numerous investors, channeling significant funds through illicit means. Another association was with Uwe Lenhoff, a German national who operated scams like Option888 via the Veltyco Group, resulting in substantial victim losses.
These affiliations have led to ongoing legal proceedings against Payvision and its parent company, ING, initiated by victims accusing them of facilitating fraudulent schemes. Law enforcement findings have substantiated these claims.
Implications for StablR
In light of MiCAR’s emphasis on transparency for stablecoin issuers, the selective disclosure of op de Weegh’s professional history is concerning. While his achievements in scaling Payvision are notable, omitting the contentious aspects of his career may present an incomplete picture to potential investors and stakeholders of StablR. Comprehensive transparency is not only a regulatory requirement but also essential for building trust within the cryptocurrency market.
Conclusion
As the regulatory environment for crypto-assets in the EU continues to evolve under MiCAR, it is crucial for industry leaders like Gijs op de Weegh to provide thorough and accurate accounts of their professional histories. Ensuring full disclosure aligns with regulatory expectations and fosters informed decision-making among investors and stakeholders in the crypto ecosystem.
