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Ronit Chamani Calls Out Alex Foxen in Cryptocurrency Fight
South African poker pro Ronit Chamani named Alex Foxen in a lawsuit filed in US District of Nevada. Chamani filed the lawsuit at the start of the year, but details have only now come to light.
Chamani is suing Quasar Mining Group, Inc for $500,000. The company dissolved its cryptocurrency mining operation in 2019. Paul Tyree and Nicholas Gubitosi are named directly as former directors. Alex Foxen is labelled in those documents as a director of the Defendant and a founding partner.
Chamani Calls Our Fraudulent Enterprise
A preliminary injunction filed last month revealed details of Foxen’s involvement in the “fraudulent enterprise.” Maurice “Mac” VerStandig, Chamani’s lawyer, said the company duped his client.
“Ms. Chamani was snooker, period. She thought she was investing in a legitimate business; instead, she was bankrolling the portly salaries of two of Quasar’s directors, while one of those same directors repeatedly lies to the SEC about taking such salaries. When the money started to run low, Quasar elected to liquidate.”
Chamani invested $200,000 in Quasar Mining Group. The company promised Chamani monies if it ceased operating. She claimed to have not received a single cent.
“Quasar Mining Group is winding down its affair but is refusing to pay Ms. Chamani the pro-rate monies she is legally due unless she signs a sweepingly broad release forgiving the Defendant and all of its officers and agents for the myriad fraudulent acts that have invited this untimely demise and prompted this litigation,” wrote VanStandig.
Chamani Believes Investors Were Pressured Into Signing the Waiver
The defendant taking almost $275,000 of investors’ money are among the claimed fraudulent acts. The directors declared they wouldn’t take salaries for their roles, but appear to have done so.
Documents reveal Quasar’s directors took $275,000 of the $678,000 invested by several investors.
Chamani believes the directors pressured other investors into signing the aforementioned waiver.
Foxen Reassured Investment Was Legitimate
Foxen provided rosy updates right up to the company being dissolved claims Chamani. This led her to believe her substantial investment was safe.
The company’s operations would remain at least breakeven so long as Bitcoin remained above $2,000 was one assurance given to Chamani. Bitcoin’s value has stayed way about $2,000 for the duration of Chamani’s investment.
Chamani the Poker Player
Who is Chamani? She is one of the most-talented female poker players in the world. Chamani resides in Johannesburg, South Africa, but spends most of her time playing poker in the United States.
The tournament specialist has accumulated $730,737 to date. This is enough to place her eighth in South Africa’s all-time money listings. Chamani’s largest score weighs in at $152,080. She banked this impressive sum after winning the $2,000 Shooting Stars event at WPT Bay 101 in 2014.
Who Is Alex Foxen?
William Alex Foxen is a phenomenal poker player and the reigning Global Poker Index Player of the Year. Foxen burst onto the live poker scene in 2012 with a victory in a $355 WSOP Circuit event for $22,421. He’s since won more than $16.6 million from poker tournaments.
Foxen won $2,160,000 for a second-place finish in the December 2019 Super High Roller Bowl in Las Vegas. He also took down the $10,400 WPT Five Diamond World Poker Classic in December 2019. This netted Foxen $1,694,995 and locked up the number one GPI ranking.
Only last week, Foxen won a $25,000 buy-in PokerGO High Roller for $249,950. He should have no problem in repaying Chamani.
Is Cryptocurrency Mining a Legitimate Business?
Cryptocurrency mining has the potential to yield massive profits, but it’s not a simple process. Ultra-powerful computers mine Bitcoins. These computers perform extremely complex calculations to produce the cryptocurrency. Mining Bitcoins becomes more difficult as time goes on.
The amount of energy required for Bitcoin mining is astronomical. A report by The Verge estimated global Bitcoin mining operations consume more electricity that Switzerland does each year. Latest figures show Bitcoin miners use 0.21% of the world’s annual electricity supply.
Mining cryptocurrency is legitimate and will continue, it’s just extremely difficult for the man on the street to make significant money from doing so.