A shocking news has brought down the AVAX token to its minimum since July 13, after CryptoLeaks will publish a detailed report on the fraudulent behavior behind the blockchain company Ava Labs in partnership with a law firm to harm Avalanche’s direct competitors and keep regulators at bay.
CryptoLeaks is a website that is dedicated to making anonymous reports on fraudulent companies in the crypto world with the aim of exposing corruption in the industry and defending the rights of “the honest crypto community”.
Ava Labs, Avalanche and Roche Freedman
According to the CryptoLeaks report, Avalanche and the “Roche Freedman” law firm made a pact with the aim of harming rival Avalanche ecosystems by collecting sensitive information and then using it against said projects under class action lawsuits in exchange for a high percentage stake in the company with AVAX tokens and Ava Labs corporate shares for the “Roche Freedman” law firm.
Stay until the end, this is just beginning!
For those who don’t know Ava Labs is a company that promotes the growth of the Avalanche blockchain (the world’s greenest blockchain), this company is run by Emin Gun Sirerits CEO and founder, who is a Turkish-American computer scientist known for his contributions to P2P systems and computer networks.
Emin Gun Sirer
On the other hand, the law firm Roche Freedmannhas at least 30 lawyers and is managed by its founding partner Kyle Roche. This law firm specializes in the world of digital assets, currently filing direct lawsuits against crypto asset projects, including platforms such as Binance, the cryptocurrency exchange, and competitors of Ava Labs (Avalanche), Solana Labs (Solana ) and the Dfinity Foundation (an Internet Computer contributor).
Kyle Roche
The association of Ava Labs with the law firm “Roche Freedman” has been operating in secret for some time with the aim of harming a large number of cryptocurrency projects, all in exchange for a massive amount of AVAX cryptocurrencies valued at hundreds of millions of dollars for the law firm. Below we show you all the information collected by the complaints website “CryptoLeaks” where Kyle Roche himself reveals the exact nature of his operations to harm Avalanche’s competition through the following actions.
1. Using the American legal system to attack and harm crypto organizations and projects that could compete with Ava Labs or Avalanche in any way.
two. Suing crypto industry players in general with the goal of creating magnets for regulators like the SEC and CFTC to distract them from the highly commercial nature of Ava Labs and the Avalanche blockchain.
3. Secretly pursuing Emin Gün Sirer’s personal goals against people.
A secret pact!
In August 2019, as Kyle Roche himself expresses, the Roche Freedman law firm moved into a workspace alongside Ava Labs with the aim of providing “legal services” in exchange for massive amounts of, AVAX, Ava Labs tokens. Avalanche blockchain and shares of Ava Labs corp (Ava Labs owns AVAX for founders and investors).
Kyle Roche says he was the first person to receive shares of Ava Labs after Andreessen-Horowitz, a venture capitalist will provide your initial financing. Actions that according to Kyle Roche himself make him the owner of a third of what Kevin Sekniqi has, who is the co-founder and current COO (director of operations) of Ava Labs and boasts of having a full point, that is 1% on the total of AVAX tokens, and Ava Labs shares.
The truth begins to be revealed!
Kyle confirms that he worked as a “strategic instrument” to “support Ava Labs” to a level where they made him an “equity partner.” Kyle reveals that he started out as a “crypto expert” for Ava Labs, but then clarifies that he was contributing a special kind of experience and knowledge gained over the years “suing a large number of companies in the cryptocurrency industry.” And this is so because in the US, when a person or company is sued, access to your sensitive accounts, business data, email and social media communications, and more may be required, through a special legal process known as “discovery.” Which offered him the possibility of “seeing the inside of each crypto company”.
In the wrong hands, this information could become a powerful competitive tool. and that is what happened; something that was undoubtedly one of the key factors that convinced Emin Gün Sirer to make the pact with Kyle Roche.
Actions to Disadvantage Avalanche Competitors!
Roche Freedman initiated disputes against a large number of people and projects related to the crypto industry, currently owning some 25 collective actions in which the objective “was to protect” a series of people who claimed to have lost their money trading with some cryptocurrency.
Then they created a lawsuit on behalf of the affected people, claiming that the cryptocurrency is an illegal value and therefore the creators and developers of it who are promoting its use and value are responsible for the losses of all the people in question. When creating these class action lawsuits and other litigation against Ava Labs competitors and crypto industry participants, Kyle Roche has revealed that Roche Freedman often had two hidden purposes:
Cause damage to a competitor.
This they managed to do clearly in a very discreet way. Starting a class action lawsuit against your competitors can harm them in multiple ways, so they have secretly set up the legal system to do this. Even when they can only present a weak case, so that they are very likely to lose the litigation, this can still hurt their targets, benefiting them greatly.
Keep the regulators, the (SEC) and the (CFTC) away from Ava Labs.
They often litigated against competitors in ways that made them appear guilty of regulatory violations. Directing regulators’ attention toward competitors can do them great harm, but it also serves to alienate regulators from Ava Labs and its greedy commercial behavior, who would otherwise be very interested in regulators. Kyle says he was litigating to create “other magnets” for regulators to go after. They also do this with crypto players that are not obvious competitors.
In summary
Roche Freedman attacks Ava Labs’ competitors using “class actions” with people who claim to have been misled or harmed in some way.
These US class action lawsuits are “protected speech,” allowing Roche Freedman to make damaging claims about other projects that are actually completely false, without risk of being sued for defamation for the purpose of damaging the reputation of its adversaries.
After the litigation or dispute has been initiated, Roche Freedman may collect/obtain confidential information from them through the legal discovery process, which may then be shared with Ava Labs.
This class action lawsuit process forces the projects in question to spend a great deal of resources on their behalf to try to cause 2 major problems, drain the project’s resources and deter them from their core work, thus creating many more problems in the future.
Roche Freedman only loses the money spent litigating against their targets, which turns out to be far less than what those projects must pay for their defenses. This means that they can afford to lose the case and still accomplish a goal by suppressing a blockchain that competes with Avalanche.
By directly accusing the founders and executives of blockchain ecosystems and companies in their class action lawsuits, they can create a possibility of bankruptcy for them if they lose. This destabilizes their top leaders and innovators, and also puts enormous pressure on their families.
Ava Labs and Roche Freedman have the joint goal of increasing the price of AVAX at all costs under a ruthless and highly commercial strategy. At the same time they are trying to divert the attention of regulators like the SEC and CFTC elsewhere.
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