Two DWF Labs affiliates, DWF Maas and Falcon Digital, have filed a claim against crypto custody firm BitGo in the High Court in London, alleging that BitGo breached an over-the-counter token deal by selling Falcon Finance and ESPORTS tokens before the agreed lock-up period ended. According to the claim, the tokens were sold at a discount under terms that required a three-month lock-up followed by a staged unlock schedule. DWF alleges that BitGo moved the tokens to exchanges about two months before the first unlock, creating selling pressure in the market and hurting the value of its remaining holdings. The plaintiffs are seeking $141 million in damages. BitGo declined to comment on the lawsuit. The allegations have not been ruled on by the court.
DWF Maas and Falcon Digital, two affiliates of DWF Labs, have filed suit against crypto custody company BitGo in the High Court in London, alleging that BitGo breached an over-the-counter agreement by selling Falcon Finance and ESPORTS tokens before the end of an agreed lock-up period.
Claim centers on lock-up terms and token sales
According to the filing, the parties agreed to discounted token pricing, but the deal required a three-month lock-up period followed by a phased unlock schedule. DWF alleges that BitGo transferred the tokens to exchanges about two months before the first scheduled unlock, which created selling pressure and pushed token prices lower.
Plaintiffs seek $141 million
DWF said the early transfer and sale damaged the value of its remaining holdings and is seeking $141 million in damages. BitGo declined to comment on the case. The allegations have not been decided by the court.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
