In the context of the whole market cryptocurrency is still facing a lot of difficulties after the macro news last weekend, the platform blockchain market leading Avalanche (AVAX) recently encountered another "shock" that strongly affected the project's reputation.
AVAX's legal attack "conspiracy"
Kyle Roche @ Roche Freedman, the secret #Avalanche law firm— Crypto Leaks (@CryptoLeaksInfo) August 28, 2022
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”👀
See https://t.co/6iK3R72VfM pic.twitter.com/AN0RpRVm49
Accordingly, Ava Labs, the development company behind Avalanche, has colluded with Roche Freedman, a well-known law firm specializing in litigation in the industry. cryptocurrency, led by founder Kyle Roche to "play evil" behind many other competitors such as Solana (SOL), Internet Computer (ICP) or even an exchange Binance.
It all started in August 2019, law firm Roche Freedman worked with Ava Labs. In exchange for Roche Freedman providing comprehensive legal services and some terms to Avalanche, Ava Labs agreed to grant Roche Freedman a large amount of AVAX and a stake in the company.
Kyle Roche even said he was the first person to receive shares of Ava Labs after Andreessen Horowitz (a16z), the investment fund that provided the initial capital for AVAX. Next, Kyle Roche confirmed that the “secret compromise” with Ava Labs is that the company he will bring lawsuits against various platforms in the crypto space to support AVAX, with two main purposes as follows:
- Harming AVAX's competitors, thereby helping the platform become "cleaner" and more reputable with the community.
- Attracts regulators, including the US Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), away from Ava Labs and focus their attention more on the platforms being sued.
All proofs are fine Crypto Leaks presented not only with written arguments but also through specific videos of the conversation between the two sides. On the other hand, in terms of past events, the Solana was sued for being an unregistered security or Binance.US was caught in a lawsuit alleging misleading investors about Terra are all by Roche Freedman, so authenticity by data comes from Crypto Leaks the possibility is very high.
Even Binance CEO Changpeng Zhao expressed his disappointment at AVAX after this news broke, perhaps partly due to the Binance.US incident just mentioned.
“This is crazy. I'm not sure if that's the case but the videos don't seem to be fake. Unexpectedly, Binance was the target of the attack. We're not even seen as a platform that competes fairly with them."
A series of other "truths" are exposed
In order to hide his conspiracy, AVAX founder Emin Gün Sirer regularly supports projects blockchain others and always show a desire for their ecosystem to grow.
For example, he provided support to Solana users when they were affected by the Slope wallet crash and then offered his best purported technical theories on what could happen. Coincidentally, however, this statement was created just weeks after Roche Freedman filed a lawsuit targeting the Solana ecosystem.
There's an ongoing attack targeting the Solana ecosystem right now. 7000+ wallets affected, and rising at 20/min. Because it's very early and the attack is ongoing, there's a lot of misinformation and speculation. So here are a few thoughts and clarifications.— Emin Gün Sirer🔺 (@el33th4xor) August 3, 2022
In addition, Mr. Kyle Roche further shared that the legal system that Roche Freedman "wraps" for AVAX has practically little probability of turning AVAX into a security despite the platform constantly promoting the token as an investment opportunity. potential investment. Even so, Kyle Roche repeatedly persuaded Emin Gün Sirer not to mention AVAX's price so as not to catch the eyes of regulators.
Before Kyle Roche founded Roche Freedman and struck a deal with Ava Labs, he was an associate at the law firm Boies Schiller Flexner, which represents Ripple and is defending a lawsuit involving XRP securities as alleged by the SEC.
According to Kyle, he once suggested to the CEO Ripple Brad Garlinghouse that he will start a new law firm (Roche Freedman), specializing in suing other crypto firms, using exactly the same “tactics” as Ava Labs now supports. Ripple. So, Kyle suggested Brad Garlinghouse become an angel investor, and surprisingly he agreed.
It's not clear why the Ripple CEO invested in Kyle Roche and backed Roche Freedman on its current path, although the move is unlikely to save Ripple from the SEC. However, Ripple's past troubles with the regulator combined with its association with Roche Freedman/Ava Labs could bode well for AVAX and its founder Emin Gün Sirer.
However, Mr. Emin Gün Sirer denied this information immediately after confirming that he was not involved in any illegal actions, and stated his thesis. Crypto Leaks is baseless.
How could anyone believe something so ridiculous as the conspiracy theory nonsense on Cryptoleaks? We would never engage in the unfair, 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
Still, that doesn't seem to be enough to "save" the AVAX price, which is now down more than 8% in the last 24 hours and is trading around $18.37 at press time.