In 2018, Elon Musk, Tesla’s CEO and co-founder of OpenAI, rejected a controversial proposal from OpenAI’s CEO, Sam Altman, to launch a cryptocurrency token.
Musk expressed concerns that such an action could tarnish OpenAI’s reputation, as revealed in recent legal filings.
Court documents filed on November 14 in the United States District Court for the Northern District of California detail Musk’s objections. The filing states that in January 2018, just a few months after expressing enthusiasm for the organization’s vision in late 2017, Altman suggested an initial coin offering (ICO).
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Musk rejected the proposal, arguing that pursuing an ICO could cause “a massive loss of credibility” for OpenAI and anyone involved. This rejection marked another instance of Musk’s disapproval of initiatives led by Altman and other leadership figures within OpenAI.
Despite Musk’s resistance, Altman and Greg Brockman allegedly worked behind the scenes to develop plans for converting OpenAI into a for-profit structure. The filing notes that this transition idea followed Musk’s rejection of what his legal team called their “second get-rich-quick scheme”.
In a message to Altman and Brockman, Musk made his position clear:
I will no longer fund OpenAI until you have made a firm commitment to stay or I’m just being a fool who is essentially providing free funding to a start-up.
The revived lawsuit, filed on August 5, followed an earlier decision by Musk to drop the case in June. Originally launched in February, the suit alleges that OpenAI violated promises to remain a non-profit.
In other news, the Hong Kong Monetary Authority (HKMA) has revealed that certain crypto firms are misusing the term “bank.” What risks does this bring to the consumer? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.With close to a decade of experience in the FinTech industry, Aaron understands all of the biggest issues and struggles that crypto enthusiasts face. He’s a passionate analyst who is concerned with data-driven and fact-based content, as well as that which speaks to both Web3 natives and industry newcomers.Aaron is the go-to person for everything and anything related to digital currencies. With a huge passion for blockchain & Web3 education, Aaron strives to transform the space as we know it, and make it more approachable to complete beginners.Aaron has been quoted by multiple established outlets, and is a published author himself. Even during his free time, he enjoys researching the market trends, and looking for the next supernova.
