Here’s what Ava Labs’ CEO said about claims that he paid lawyers to sue competitors! Massive claims and allegations made against Ava Labs is threatening the entirety of the blockchains reputation.
Rumors Surrounding Ava Labs
Recently, Ava Labs, the company behind one of the biggest cryptocurrencies in the world, Avalanche, was embroiled in some major rumors and allegations of illegal activities.
These ‘illegal activities’ in question were derived from allegations by the crypto “whistleblower” Crypto Leaks which claimed that the blockchain company had allocated more or less 1% of the AVAX token supply as well as Ava Labs’ stocks to the law firm Roche Freedman in order to sue competitors in order to harm them.
Within Crypto Leaks’ allegations, the account had also posted a number of videos showcasing Kyle Roche, a a founding partner of Roche Freedman seemingly admitting his partnership with Ava Labs CEO Emin Gün Sirer, as well as their COO Kevin Sekniqi.
Kyle Roche @ Roche Freedman, the secret #Avalanche law firm
RF litigates against Ava Labs competitors, to draw the SEC & CFTC to them, and away from Ava Labs
Roche ensures there's "no such thing as regulation for what they [Ava Labs] want to do"👀
— Crypto Leaks (@CryptoLeaksInfo) August 28, 2022
“We did a deal, where I agreed to provide legal services in exchange for a certain percentage of the token supply.” Kyle Roche said in the video.
Within another published video, Kyle Roche also admitted to having used “litigation as a strategic instrument to support Ava Labs.”
Ava Labs CEO’s Response
Since these allegations were first published, a number of notable figures have voiced their opinions on it, most importantly, Ava Labs CEO himself, Emin Gün Sirer, who heavily denied these claims.
How could anyone believe something so ridiculous as the conspiracy theory nonsense on Cryptoleaks? We would never engage in the unlawful, unethical and just plain wrong behavior claimed in these self-serving videos and inflammatory article. Our tech & team speak for themselves.
— Emin Gün Sirer🔺 (@el33th4xor) August 28, 2022
In his most recent tweet, Sirer addressed these allegations, calling them out to be ridiculous “conspiracy theories”. He never did, however, address the videos with Kyle Roche’s supposed confession in them.
In a now deleted tweet, Binance’s founder CZ also acknowledged these massive allegations, saying at the time, “This is wild. Not sure if this is true, but assuming the videos are not deep fake… And of course, #binance was a target. We are not even a competitor.“
Aside from that, many others in the crypto community seem to have been extremely divided by these allegations. Despite Sirer’s denial of the claims, some don’t seem convinced as video evidence clearly shows Kyle Roche’s confession which Sirer did not clear up or explain in any way.
Are the videos fake, or is Kyle Roche lying about the nature of his special arrangement with Ava Labs?
I think some more clarity & a detailed statement is in order here.
— FatMan (@FatManTerra) August 28, 2022
Others, however, seem to side with Ava Labs’ claims that the allegations are false, claiming that the videos published by Crypto Leaks were too short and cut off from each other in order to tell a clear and reliable story.
For now, whether or not those videos and allegations are true still remains a big question as no clear answers have been given by Ava Labs’ side.