Announcement on LitePay

To the Entire LTC Community,

We wanted to inform you that a couple of days ago, the Litecoin Foundation was contacted by Kenneth Asare, CEO of LitePay, informing us that he has ceased all operations and is preparing to sell the company.

Prior to that, the foundation had approached Kenneth regarding his less than transparent nature with the company and to express our, and the community’s, concerns regarding his recent Reddit AMA.  It was at this time that Kenneth asked the foundation for more funds to continue operations.   The foundation refused any further funding as he was unable to provide a satisfactory picture of where the money had been spent and refused to go into exact details about the company and show objective evidence to back up his statements.

We are greatly disheartened that this saga has ended in this way and we apologize for not doing enough due diligence that could have uncovered some of these issues earlier.  We are currently working hard to tighten our due diligence practices and ensure that this does not happen again.

Litecoin was doing perfectly fine before the promise of LitePay and will continue to do so.  The ecosystem is far bigger than one company and is continually growing with support from many others with market ready products joining the space and fulfilling their promises to make it easier for the world to use Litecoin.

In the end, this is a valuable lesson for us to have learned. Litecoin and our community is as strong as it has ever been and we look forward to many great things to come. Thank you for your continuous support!

– The Litecoin Foundation

57 thoughts on “Announcement on LitePay

  1. Ruben Torres Reply

    Wow. Well, on the bright side, there’s always LitePal and Abra!
    VIVA LTC!

  2. Brian Haggerty Reply

    Thank you for this announcement. I think this was quite apparent to most of us in the community who actively follow and investigate everything associated with Litecoin. Sadly, many members of the community– most of whom were rather new– put an inordinate amount of hope into Litepay. The concept sounded astronomical. As a result, I do believe that Litecoin’s market price went up exponentially in early February as people truly believed that Litepay was coming and would change the world of money and transactions forever. Those of us who either knew something about credit card and payment systems, or had simply done some research were less believing. Fast forward to March: now we have real, solid news that is absolutely bullish for Litecoin’s growth and evolution and, sigh, the market sits idly. Yes, the market is led by Bitcoin and will move when Bitcoin moves. But, Litecoin’s energy to begin closing the ratio between Bitcoin and itself was dealt a temporary blow because of the Litepay conundrum. At least that is my opinion.

    I know that many in the community– especially those who create daily or regular Youtube videos– discounted the idea that Litepay was the result of Litecoin’s decline the past month. I, however, believe differently. My point to the community– especially to the foundation– is that we need more volunteers to help vet future products, ventures, people, etc. such as Litepay more deeply so as to avoid something like this moving forward. I had Tweeted a warning about people getting too excited about Litepay after I became highly suspicious of their claims and aggressive release date of Feb. 26. There were also plenty of people on Reddit who were posting warnings signs about Litepay and Kenneth Asare.

    Also, while the foundation is busy and hard at work developing the Litecoin network and its community, you need to be very vigilant because while you did not have any direct involvement with Litepay, there was a tremendous misunderstanding among the community. Many fully believed that the foundation was involved, or Charlie was involved, etc. While it is important for the foundation and the community to encourage and support innovators within the space, giving a sense of approval causes too many to accept something without doing due diligence.

    Either way, my point is not to dwell on Litepay. I never really gave it much hope in the first place. Litecoin is fine without it. But, the hopes and dreams of so many rest on cryptocurrency’s future. As a result, traders, people trying to predict bull-runs, etc, have all been pretty much wrong. In a new , unimaginable space such as this, I don’t think anyone can spot trends or trades with ease. I also do not think it wise to encourage most people to try to do so. To me, this is a long-term market which will face multiple years of peril and profit. The wisest course is to Hodl and to only Hodl that which you can afford to lose.

    I am committed to the growth of the crypto world. Litecoin is my favorite. I will try to help out in any way I can in order to avoid trappings like Litepay from causing people to falsely believe in something which does not yet exist. My thanks to the foundation, Charlie Lee, Xinxi Wang, Franklyn and the entire community who are working diligently to make Litecoin the currency of choice for payments. Go Litecoin!

  3. Tycoon Reply

    They should make an exchange using litecoin solely-all coins pegged to LTC, its one way to add value to LTC.

  4. Steyr Reply

    this is no surprise. but shame on the Foundation for not warning the community much sooner. many people trust in the words of the Foundation and its representatives, and in this case, the Foundation let them down by legitimizing a scam. let this be a big lesson in due diligence to everyone. if the business is not transparent in their communications with regards to process, timelines, profiles, photos, twitter feed, etc…, then buyer beware. with that said, let’s proceed forward with more caution.

    • losh11 Reply

      Steyr: you said ‘shame on the Foundation for not warning the community much sooner’, we we’re only notified about this less than 2 days ago. In that time we had to get authorisation from LitePay to publish this, and also write this message (which goes through multiple revisions).

      • Steyr Reply

        Losh11, the warning signs were apparent long before the failed launch date. because of the lack of good due diligence, the Foundation let the community down by failing to conduct a proper risk assessment and here we are today discussing this matter. so hold your excuses and accept the shame. consider it a lesson learned and move on. end of discussion.

        • Cornel Reply

          You are basically saying what they openly admitted and apologized for.
          Kinda irrelevant.
          Maybe you should work your way up since its open source and spread your knowledge.
          Now if you are kind enough, could you tell me what LTC price will be this Saturday. I would like to hold you responsible if you are wrong. Due diligence its required in your price research.

  5. PalmPay.io Reply

    PalmPay (www.palmpay.io) is a point of sale app (just announced at anarchapulco 2018) that processes Litecoin. It’s still in alpha, but it works pretty good and also does Loyalty Points, eReceipts, exporting of transactions to accounting systems, and v1.0.3 coming out in a few weeks should process on-chain transactions in 1.5 to 3 seconds and support NFC.

    It doesn’t cost the merchant anything either. The 0.5% fee that the customer pays gets sent in the same block to the ambassadors who are out there promoting crypto too (meetups, etc).

  6. Emily Bery Reply

    I am hoping Litepay will make LTC better more than BTC at the momment but when i receive this announcement on LitePay. I disappoint with LitePay

  7. Vital Reply

    Brian Haggerty,

    Thank you for your balanced view on this situation and LTC in particular. I agree for 100 %.

  8. Tvector Reply

    I knew it the moment I looked at their website and thought, why can’t I as a merchant use this? I have to send them an email? They couldn’t even create an online form to gather information from businesses who were inquiring about using Litepay? Total BS. The website looked like some canned WordPress site with stock images. This was a total oversight on the foundation’s part.

  9. Khan Reply

    Too bad. Many bought LTC just because of this. They are going to start dumping now :(.

    • Steve Reply

      That’s ok, KHAN, this will be a great buying opportunity for the rest of us!! Dump away, I believe in the long-term & I know the future of a worldwide currency/payment network is coming! LTC is the BEST coin for the job!! HODL EVERYONE & WHEN LTC DROPS, LET ALL OF US SMART INVESTORS BUY IT ALL UP!!!!

  10. Cryptochist Reply

    I’m disappointed and disgusted. Why doesn’t the foundation just create an app for merchants and consumers? What’s so complicated about this?

    There are three coins that are actively being used for commerce but I’m not here to shill them. I’m here to promote LTC to the fullest. Mainstream use is essential and we are being beaten to the punch by other projects. We need results.

  11. Coinissimo Reply

    Litecoin will not suffer this failed project. We are very confident that other entities might fill the gap and take this opportunity. Before summer!

  12. John Reid Reply

    Wait, what? Litepay is not happening??? Oh, come on… we all figured that out long ago. LTC is still up 3,400% from this time last year! Price is down today— time for me to go buy a two piece snack pack of the ol’ 🐓 and yes, I would like a side of spicy rocket with that two piece! Just eating it up!

  13. Dave Hovis Reply

    What was the initial investment that the Litecoin Foundation put into Litepay?

  14. NT Reply

    LTC should work together with STK (STACK) and get more of this tech into the mainstream.

  15. Christopher Damitio Reply

    Just out of curiousity – for those of us who attempted to sign up to use Litepay, has our data been comprimised?

    • Martin Reply

      Your data is safe with Mr. Asare…probably will end up in a Nigerian email list, so expect some Viagra pills ads and how to enlarge certain parts for the next 10 years…

  16. Nakamoto Reply

    When a litecoin investor with some decent coin being him sees rivers of dollars flowing his way over night, but realises it’s the dry season.

  17. Burthers K. Reply

    Thanks for the update. We believe in Litecoin and we continue to do so. Keep up the good work.

  18. Mike Reply

    I am very disappointed. I invested in LTC because of LitePay. It smells like a very poorly run operation, with a serious lack of communication and leadership. I hope I am wrong.

  19. Linzo Reply

    I just bought more LTC and I’m gonna buy more next week and the week after that.

    • Ron Jeremy Reply

      Good, everyone who will be dumping LTC on the way down to $10 needs suckers who will blindly buy it.

  20. Satoshi21 Reply

    Now, only eBitcoin foundation will use its gateway (eBTC Merchant Services, with also FIAT access). Bad news for lite coin. Maybe a partnership with eBitcoin soon.

  21. Yannick Reply

    From a business point of view this all seems so amateuristic. Which gives me a lot of doubt. In crypto we already have far to much of this. Thought ltc was different.

  22. Bit it Rain! Reply

    So bad!

    Of course, Litecoin is way bigger than just one company. Better things are in the corner!

    Keep up the good work, guys!

  23. Dan Reply

    I like Charlie Lee but I think he needs to supervise these projects more instead of promote them. His skill set is more important than popularity. Once he knows he has something that isn’t all mucked up he can promote it all he wants. Direct and supervise first and promote last. That makes delivering quality and earning trust easier. It’s a small set back but a solution will arise. Cheaper coins at the moment. I will be buying more once the bashers get tired.

  24. JoJo Reply

    Much thanks for the transparency. LTC has a bright future. Thanks for all the hard work and real growth; Abra, wallet innovation, low fees, Gemini listing, communication with LTC users, and ongoing growth. Loaded up big today!

  25. CTX-Trainer Reply

    Hi all you LTC guys. All we peoploe over the-earth assumed before that LitePay was a kind of “carrot for invertsment” into the Desert in a false reflection oasys within the Sahara Desert… is anyone not agreeing this yet? Does anybody think that JP Morgan Chase will pay our morgages? our beers? a flower to our mothers? (I lost my mother on march 9) too expensive I think. There’s no romantic here. But LitePal and Amazon are not globally discussed realities in the market, even that we can find another false possitive.
    In order to continue being safe and conscient, isn’t the world so ironic that just want to make us know ourselves a little bit more?
    I have lost a lot of money from my side now, but in 2017 I won to a aggressive cancer, and I’m alive.

    May the force be with all of us, LiteCoiners. It’s just money. But please! Knowledge, my friends!

  26. Joseph Reply

    I appreciate the forthright response from the Litecoin Foundation. I agree that this is a minor misstep in the grand scheme of things, and that the Litecoin community will grow stronger than ever as a result. This should be taken as a learning experience. I believe in the vision of a decentralized currency and I believe Litecoin will lead the way as an example.

  27. Fyodor Dostoyevsky Reply

    Interestingly, the Litepay website is still up, the merchants have signed up, and the employees are still wondering if they are going to have a job. Cluck! Visa has an innovation report on their website that is very interesting (crypto, IOT). Cluck, cluck. Weasels love chickun!!! Especially if they lay golden eggs! Cluck, cluck, cluck!!! Who knows? Someone will buy it and this is a great tool to get some main stream adoption happening— may not be an empty chicken coop after all. It may not be LTC crypto but some financial corporation is licking it’s lips at this opportunity and looking for some crypto to partner with. I think Ken will be fine, the foundation will be just fine, and in some weird form or another this will happen. Hopefully, with new photos! I like chickun! 🍗
    🐓

  28. CTX-Trainer Reply

    @To All: Who has bought LitePay? Anybody? Or is just expecting to jump out whoever CEO that will own, in April the 1st? Make sense the LitePay announce of sale?? I just ask myself…

  29. damnright4 Reply

    Hey, No hard feelings here.. Business is Business and the Business of Business is Business..Ya cant hit it out of the park every time. Base hits can and will win the game.. So on to the next inning..Cheer up! Its going to get better..

  30. Enoch Powell Reply

    obviously gonna be a scam based on the ethnicity of the founder.

  31. Tami Reply

    Just a thought, but you might want to remove Litepay from the resources page.

  32. Dennis Reply

    Pls consider offering a LTCF certification to Litecoin apps, wallets, etc. Would have prevented this Litepay situation.

    This will help the LTC community and would be a great consumer badge for LTC to wear versus other crypto coins IMO.

  33. Arty C. Doyle Reply

    Why are some of the transactions on the flappening watch site green, red, and now white? I get red and green transactions but not new White. Plus, they are over priced transactions.

  34. Jethro Tull Reply

    I think having a conference in San Francisco on September 14 is the dumbest idea I’ve ever heard of! What could possibly be more centralized than that? Be more bitcoin and anonymous like Satoshi and less like any hero you think is cool. At the end of the day… hubris is the opposite of what we are trying to accomplish. Worshipping at the base of the pyramid is disaster. How about we spread far and wide(decentralized) and interact via YouTube? Having SMARTS and BELIEVERS in a very tiny geographic area appears extremely centralized and stupid… I like chickun and verslaw. They pair nicely. Keep charging. Thank you for being honest👍

  35. Ian Andersun Reply

    Charley pulled the handle,
    Oh, Charlie pulled the handle,
    And the train it won’t stop going;
    But it could slow down.

    I thank GOD we stole the handle…

  36. CTXTRAINER Reply

    Dear all!! What has happened today at this time of log entry Litecoin is coming up 12% !!!!!! Does anybody match any info related to root cause???

  37. Wally Whitman Reply

    I went to Cinnabon today. I inquired about taking Litecoin. Blank stare… the college student asked what it was. Apparently, after doing some further questioning, I am the only person who has asked this question over the last several days. Texas State University sits five blocks away from this store!!! Oh my, what are they teaching the students these days?😱 LTC Foundation, your job suuuuckkks!!! I get it. Thank you for working hard and making a great financial instrument. Adoption will happen.

  38. Robbie Burns Reply

    BTW, thank you all for being kind, honest, and having integrity. Thank you for trying your hardest for being as transparent as you can be. Be easy on Ben… He wants to spread the good message. Keep up the outstanding work! 👍

  39. CTXTRAINER Reply

    No LitePay… No LitePal… no nothing. Creeps 20€ and goes down. Can anybody sell obective faith here?

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