DWF Maas and Falcon Digital, both affiliated with DWF Labs, have filed a lawsuit against crypto custodian BitGo in London’s High Court, according to the Financial Times. The claim alleges that BitGo breached an over-the-counter, or OTC, agreement by selling Falcon Finance (FF) and ESPORTS tokens before the end of an agreed lock-up period, which the plaintiffs say pushed token prices lower. Court filings cited in the report say the deal gave the tokens a discounted price, but required a three-month lock-up followed by a staged unlock schedule. DWF claims BitGo moved the tokens to exchanges about two months before the first unlock, creating selling pressure in the market and damaging the value of its remaining holdings. The lawsuit seeks $141 million in damages. BitGo declined to comment on the case. The allegations have not been decided by the court.
DWF Maas and Falcon Digital, two companies affiliated with DWF Labs, have sued crypto custody firm BitGo in London’s High Court, the Financial Times reported. The lawsuit alleges that BitGo breached an over-the-counter, or OTC, agreement by selling Falcon Finance (FF) and ESPORTS tokens before the end of an agreed lock-up period, causing token prices to fall.
According to the claim, the parties agreed that the tokens would be sold at a discount, but the deal required a three-month lock-up period followed by a staged unlock schedule. DWF said BitGo transferred the tokens to exchanges about two months before the first scheduled unlock, creating selling pressure and hurting the value of its remaining holdings. It is seeking $141 million in damages.
BitGo declined to comment on the lawsuit. The allegations have not been ruled on 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.
