Justin Sun’s Interest in BitTorrent to Potentially lead to an Acquisition
On May 25, TorrentFreak released the news regarding Justin Sun’s possible BitTorrent Acquisition. Before getting into whether or not Sun has discussed about this, it has come to many people’s attention that the two parties involved, have actually been dealing with some disagreements.
According to the claims made, Justin Sun, Founder of Tron (TRX), has been eagerly trying to acquire BitTorrent, a well-known P2P file-sharing platform and operator of uTorrent client, since September of last year. The deal was nearing its final stages, as both have come to some consensus with a letter of intent ready to go in January 2018.
Due to poor management decisions, BitTorrent eventually faced several damages. Cohen went on to state that a venture capital firm, which went by the name, “Accel”, distributed several of the company’s stakes at random to randoms. In particular, he said that, “Accel took their share in BitTorrent and pretty much just gave it away to these total strangers…and not only gave away their stock but gave away control of the company.”
If this wasn’t bad enough, Sun decided to sue BitTorrent, because the company supposedly changed its name to “Rainberry”. Why sue the company you want to acquire? According to the claims made, he did so because the company also failed to comply by the “No Shop” section of the letter that was finalizes.
To be precise, TorrentFreak’s report claims that David Chao of BitTorrent approached Sun by saying that he had received three bids that were significantly better than what was currently being offered. Unfortunately, to BitTorrent’s luck, the deals have already been signed, which is another reason why Sun reacted this way.
In response to the name-changing, CPO Jordy Berson said to TorrentFreak that it was a “corporate decision” and compared it to the likes of Google. Explicitly, he said, “The best way to probably think of it is that it’s not unlike how Alphabet Inc is the official name of the company most people know as Google.” However, no response was given in breaking the No Shop rule.
After further analysis of the report, it is clear that Sun went on to getting a restraining order against BitTorrent, to prevent the company from chasing deals with other companies. Unfortunately, this particular aspect was not in favor of Sun, as it was turned down altogether.
For the time being, there is no sound evidence that the acquisition will be moving forward, as Justin Sun is yet to make comments. If it all works out in his favor, he believes that “another 100 million users will be joining TRON network. This application is one of the world’s largest decentralized applications.”
— Justin Sun (@justinsuntron) May 25, 2018
Just last month Justin Sun was seen in an interview revealing they had much more coming to the platform that was going to bring many more users.
With TRON being one of the few coins up a handful percent the past month while the market continues to slump, TRON is one of the coins that seems to have a very wide appeal and we are still five days away from their official launch. The TRX Coin is trading at $.07 and has a market cap of $4.6 billion.