Business News Report
May 22, 2023

Crypto Influencer Receives a $7M Token Settlement Demand

In Brief

Anonymous crypto influencer Ben.eth received a $7 million token settlement demand. 

The influencer received a settlement demand letter from Mike Kanovitz, the partner of the legal firm Loevy & Loevy.

In the letter, Loevy & Loevy invites Ben.eth to refund their “victims” with ETH.

Crypto Influencer Receives a $7M Token Settlement Demand

Anonymous crypto influencer known as “ben.eth” has found themselves entangled in a legal dispute involving a $7 million pre-sale of the $PSYOP tokens. 

In a tweet posted on May 20, a founding partner at the legal firm Loevy & Loevy, Mike Kanovitz, claimed that a settlement demand letter had been delivered as an NFT to the wallet address linked to Ben.eth, whose real name is still unknown.

According to Mike Kanovitz, the influencer used “a manipulative launch strategy” of the $PSYOP token. The latter raised approximately $7 million during its presale, which lasted over 72 hours. Kanovitz’s concerns include the structure of the project’s liquidity pools and the fact that the tokens were not sent out straight away. 

In the letter, Loevy & Loevy invites Ben.eth to refund their “victims” with ETH. “The matter will be over, and you and your victims can all go on with their lives,” states Kanovitz’s letter. If the influencer does not oblige, Mike Kanovitz will reveal the real-life identities of ben.eth’s co-conspirators and proceed with filing suit in the United States District Court for the District of Arizona. 

Ben.eth responded to Mike Kanovitz by filing a counter-suit against Loevy & Loevy’s partner’s real name, metaverse, and ENS names. The anonymous crypto influencer has sent Kanovitz a settlement demand letter as an NFT. However, the “document” looks more like a prank, with “69 Tate Street” stated as the legal address and “Benjamin Ethaniel” as the influencer’s name. 

It’s worth noting that individuals who purchased $PSYOP tokens started realizing that the project was a potential scam following Mike Kanovitz’s tweet. 

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About The Author

Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at [email protected]

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Valeria Goncharenko
Valeria Goncharenko

Valeria is a reporter for Metaverse Post. She focuses on fundraises, AI, metaverse, digital fashion, NFTs, and everything web3-related. Valeria has a Master’s degree in Public Communications and is getting her second Major in International Business Management. She dedicates her free time to photography and fashion styling. At the age of 13, Valeria created her first fashion-focused blog, which developed her passion for journalism and style. She is based in northern Italy and often works remotely from different European cities. You can contact her at [email protected]

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