Mate Tokay, the former CEO of Bitcoin.com, is taking legal action against a small-cap crypto he recommended for allegedly failing to pay 37.5 million BRG tokens worth $ 525,000.
Tokay claims he was never paid for his services, despite the project using his name in recognition to attract investment in Bridge.link’s first exchange offer of $ 8 million three months ago. He adds that Bridge’s founder, Sina Estavi, has offered to compensate Tokay “at a much lower rate” than what was agreed in her contract and that other advisors allegedly received similar treatment.
At current prices, the allegedly promised supply of BRG 37.5 million would be worth a total of $ 525,000.
Tokay further alleges that the circulating offer claimed by Bridge.link was inaccurate for BRG, noting that it told “other crypto industry leaders, price aggregation sites and relevant exchanges” about the “massive” discrepancy between the alleged and actual and circulating offer from BRG.
Tokay warned that the discrepancy could expose BRG investors to “classic pump and dump”, describing Bridge.link’s actions as “market manipulation”.
While crypto market data aggregator CoinGecko doesn’t currently list data for BRG’s circulating supply or market capitalization, CoinMarketCap ranks BRG as the 231st largest crypto asset with a capitalization of $ 141 million.
Bridge Oracle 180 Day Pricing Chart. Source: CoinGecko
BRG has fallen from $ 0.019 to $ 0.017 in the past 24 hours, suggesting some investors in Tokay’s lawsuit are dumping – with more than 97% of the volume coming from a single exchange.
Despite legal action, the price of BRG has increased more than 200% in the past 30 days.
Bridge.link did not immediately respond to Cointelegraph’s request for comment.