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Drugs, Erratic Dismissals and Feuding Founders: Behind Bitcoin Marketplace Paxful
Paxful, a bitcoin marketplace founded in 2015, was once a prominent player in the cryptocurrency industry, offering a platform for users to buy and sell bitcoin in Africa and other emerging markets. However, behind the company’s success was a culture of lax management and unprofessional behavior, according to former employees. In this article, we will explore the unraveling of Paxful and the factors that led to its downfall.
Background: The Rise of Paxful
Paxful was founded in 2015 by Ray Youssef and Artur Schaback, with the goal of providing a peer-to-peer marketplace for buying and selling bitcoin. The company quickly gained popularity in Africa and other emerging markets, where traditional banking systems were often unreliable or inaccessible. Paxful offered a way for people to access bitcoin and make transactions without the need for a bank account or credit card.
By 2019, Paxful had more than 200 employees and had processed over $1.6 billion in bitcoin trades. The company was seen as a success story in the cryptocurrency industry and had plans for further expansion.
