According to a recent report by the New York Times, Tether co-founder Brock Pierce is currently embroiled in legal battles with his business partners in Puerto Rico. The court records obtained by the outlet reveal that Pierce’s ambitious plans to transform the Caribbean island into a hub for crypto innovation have faced setbacks.
Despite his early success as an investor in crypto projects, Pierce is now facing financial difficulties after being abandoned by his partners. The local community in Puerto Rico has also expressed discontent with his vision for the island.
Pierce, who relocated to Puerto Rico for tax incentives under Act 60, has been involved in multiple legal disputes related to his various ventures. One notable project includes the purchase of the W Hotel on Vieques, which was closed following the devastation caused by Hurricane Maria.
However, the revival of the hotel has encountered significant hurdles due to legal challenges and outstanding debts. In a controversial turn of events, Pierce’s lender, Mr. Lipsey, seized control of the hotel after accusing him of breaching their agreement by allegedly misusing funds for an extravagant party. Additionally, Mr. Lipsey accused Pierce of trying to kidnap him at another location, allegations that Pierce vehemently denies. The parties involved are currently in discussions to reach a potential resolution to the disputes.
This case serves as a cautionary tale for those operating in the crypto industry, highlighting the importance of clear agreements, sound financial management, and ethical business practices in navigating the complex landscape of crypto investments and ventures.
