Bigtime Bitcoin Investors Li Xiaolai, Chen Weixing Take Their Dispute to Court

Days after Li Xiaolai announced his sudden departure from the Bitcoin industry, he sued Chen Weixing, CEO and founder of Kuaidi Dache, on October 11. Li accused Chen of misusing the internet to violate reputation disputes, according to 8BTC reports. A trial happened immediately the next day at Hangzhou Court of Internet.

Despite being the one sued, Chen posted in his official Weibo account that he wished the trial to be public. He said:

“My lawyers apply to the court to make the trial process public, and hope to help the integrity of the blockchain industry.”

Unfortunately, on the court day, neither of the businessmen showed up. The agents of both Li and Chen were the ones who represented them and gave evidence pertinent to the case. By the end of the trial, Li’s side did not agree to mediate. The judges then decided that the verdict will be decided on another day to allow for further deliberation.

It can be recalled that this is not the first time the two made noise in the industry. Both businessmen have been making slanderous comments and accusations about each other since the start of 2018. Among their controversial statements about each other, the most intriguing was when Chen posted that Li spent around 30,000 BTC on a gaming site which is supposed to be used for a kick-start fund.

Li replied to the accusation and said:

“Once again, it’s not true. The fund was a private equity ‘equivalent to 20 million yuan ($3 million).’ And I never promised to guarantee the fund’s value using bitcoin. My quote was ‘We hope (this fund) can outrun the bitcoin market.’ As for the ‘due in September’ part, the fund was set up in a ‘4+1’ model, so it ought to due in September this year. Chen is just muddying the water.”

Li then decided to fight back and posted in his Weibo account that Chen has signed fake contracts in the past and has swindled millions of dollars. Chen then retaliated by saying:

“I don’t just have a personal loan. My related company has only one 5 million credit loan for the bank. My fund also has only one structured capital allocation for investment vehicles and homes. The question about the dollar borrowing in the recording edited by Li Xiaolai is that I talked about the meaning of the blockchain to the world in a private liquor bureau, involving the issue of dollar hegemony. This academic problem was forged and turned into a fraudulent loan to the bank.”

There are speculations that one of the reasons Li decided to leave the industry was there have already been a lot of issues dragging his name, some of which pertaining to his conflict with Chen.

Now that the conflict has been taken to court – with Li having been the one to make the first move – the chance for both parties to settle their strife became slimmer. Meanwhile, the court said that the date of the release of their ruling is still yet to be announced.