IOTA, a crypto related foundation, has released an important update on Aug 8, 2018. The update aims to address all probable doubts and fears after the transcript of a discussion among the Founders and Senior board members was leaked. MoU to be signed on or before Aug 10, 2018, to nominate IOTA founders to its official board.
The update made by the IOTA clearly states the exact reasons for disagreement and the final resolution to take things under control. Recently, a heated discussion among the founders and board of directors was leaked. The discussion revolved around taking the IOTA Founders into the group of Board of Directors.
When the IOTA foundation was formed, the Founders – Serguei Popov and Sergey Ivancheglo had decided not to be part of Foundation’s official Board of Directors.
Later in Mar 2018, David Sønstebø recommended to include the Founders to the official board. As a result, all Board members (Dominik Schiener, David Sønstebø, and Ralf Rottmann) took a unanimous decision to honor the same and nominated them for membership.
However, the nomination is possible only after the changes in the statute of IOTA foundation. Being a German registered non-profit foundation, a Supervisory Board Resolution is required to make changes in the statute. Accordingly, the Board decided to meet on Sep 2018.
The statement mentioned that the “circumstances lead to a situation, where two of the IOTA founders have been ‘waiting for board seats’ for more than four months.” The IOTA’s Supervisory Board had not taken the matter seriously on time. This situation made IOTA Founders Popov and Ivancheglo wait for a considerable time to become board members.
The statement further added that “Unfortunately, sufficient priority was not given to this open issue, and there was a failure to keep the missing board members informed about progress.”
This undue delay coupled with status quo aggravated the situation resulting in Ivancheglo demanding the board chairman Dominik Schiener to quit. Most importantly, the statement mentioned:
“Sergey Ivancheglo has since stated that asking for Dominik to resign was an emotional reaction to the situation, which had built up over months. The situation did not feel fair to him, being an integral member of the team behind IOTA as we know it today.”
As an interim measure, now the board of directors has decided to invite the two missing founders Popov and Ivancheglo into IOTA Board based on a mutually agreed Memorandum of Understanding (MoU).
IOTA is committed to complete MoU and nomination on or before Aug 10, 2018, and subsequently to give an update on the same. MoU decides the mode of operations for collaboration until the changes are finally made in the Statute in Sep 2018. The public has reacted differently to IOTA tweet.
This is not the first time IOTA is facing troubles. On Apr 25, 2018, the Financial Times (FT) had published an article which highlighted the allegation by several people against IOTA for multiple online harassments in relation to a project done online. In May, University College of London announced that it is no longer associated with the IOTA foundation in support for open security research.
It is expected that Founders inclusion in the Official Board will help IOTA in making important decisions from a wider perspective.