In a new chapter of the ETHGate saga, Steven Nerayoff’s attorney, Michael Scotto, revealed that they are prepared to file lawsuits against the US Government and other private actors. These lawsuits will be supported by ample evidence and will also involve whistleblower filings. Some of these revelations are expected to implicate major players from Ethereum’s early days.
The Plan to Counter the “False Narrative”
In an interview with Cryptonews.com, Scotto outlined their strategy to challenge the false narrative surrounding Steven Nerayoff. They intend to present factual revelations in the lawsuits, which will be filed in both New York State and Federal Courts. The aim is to address the accusations against Nerayoff and shed light on the truth.
“It’s not an exaggeration to say [he was] fighting for his life, and frankly we were only able to go on the offensive this past February when we filed our motion to dismiss,” said Scotto.
Nerayoff’s Concerns and Objections
Contrary to any ill will towards Ethereum itself, Nerayoff still wants to see the platform thrive. He is described as pro-crypto and pro-Ethereum philosophically. However, Nerayoff has reservations about how the project evolved and objects to certain actions taken by specific leaders.
“The idea was to kind of coordinate those (the recordings and lawsuits)… And so that’s coming shortly…The idea was we would put this out there because when those lawsuits became public, we didn’t want people to then question who Steve was and what happened,” Scotto explained.
It is important to note that the validity of Nerayoff’s claims is still unconfirmed, but Scotto mentioned that the forthcoming lawsuits may include charges of malicious prosecution and breach of contract related to unpaid deals. The whistleblower filings will specifically relate to ETHGate.
Allegations of Fraud and Coincidences
In a post, Nerayoff hinted at the possibility of fraud being revealed in the forthcoming lawsuits. He stated, “The recording isn’t directly related to the fraud but will illuminate a lot of what was really happening & show my involvement. The fraud will be in the lawsuit.”
Scotto also mentioned the intention to bring attention to coincidences between events at the SEC and actions taken against Nerayoff. The lawsuits will address the issue of malicious prosecution and breach of contract on deals that resulted in substantial losses for Nerayoff.
“It’s up to other people to decide, but I think people will be able to judge based on these objective facts and conclusions that they can draw based on those facts,” said Scotto, inviting the public to form their own opinions based on the evidence.
Ethereum’s Response and Potential Consequences
As of now, Ethereum leaders have remained publicly silent in response to these allegations. Scotto finds this lack of denial significant, given the serious nature of the claims. Nerayoff’s frustrations also extend to parts of the crypto media, which have declined to cover his exoneration and the questionable circumstances surrounding it.
If the allegations prove to be true, they could present a crisis moment for Ethereum. Doubts regarding its origins and Vitalik Buterin’s leadership may further deepen concerns over stagnant Ether prices and developer frustrations.
In the coming weeks, Nerayoff plans to release the Ethereum whistleblower filings and file the malicious prosecution lawsuit. According to Scotto, they possess substantial evidence to support claims of significant financial damages caused by broken deals.
“The recording isn’t directly related to the fraud but will illuminate a lot of what was really happening & show my involvement. The fraud will be in the lawsuit.”
