Mate Tokay, former CEO of Bitcoin.com, is taking legal action against an allegedly cryptographic small-cap cryptocurrency did not pay him 37.5 million bridge tokens (BRG) valued at $ 525,000.
Tokay claimed he was never paid for his services, despite the project using his name in recognition to attract investment in Bridge’s first $ 8 million exchange offer three months ago.. He added that Bridge’s founder, Sina Estavi, has offered to compensate Tokay with “a much lower amount” than agreed in her contract and that other advisors have allegedly received similar treatment.
At current prices, the allegedly promised reserve of BRG 37.5 million would be worth a total of USD 525,000.
Tokay went on to claim that Bridge’s alleged circulating supply to BRG was inaccurate, noting that it advised “other relevant cryptocurrency industry leaders, price aggregation sites and exchanges” of the “massive” discrepancy between the US supply that BRG accepted as well the actual and circulating supply.
Tokay warned that the discrepancy could expose BRG investors to “classic pump and dump”, describing Bridge’s actions as “market manipulation”.
While cryptocurrency market data aggregator CoinGecko does not currently list BRG’s current supply or market capitalization data, CoinMarketCap ranks BRG as the 231 largest crypto asset with a capitalization of $ 141 million.
BRG has fallen from $ 0.019 to $ 0.017 in the past 24 hours, suggesting that some investors are dumping due to demand for tokay, 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 did not immediately respond to Cointelegraph’s request for comment.