Former NetVRk CEO claims founders used investor funds to buy real-world luxury home

The multichain metaverse mission, NetVRk, is on the middle of an inner feud with claims that a number of senior management group members misappropriated investor funds for private achieve.

Daniel Kennedy, the previous CEO of NetVRk, took to Twitter utilizing the corporate account to ship tweets which have since been deleted. One Twitter consumer, proven under, captured screenshots of the allegations.

Kennedy claimed that “fact is a protection to slander” as he has been “verbally abused” by NetVRK founders Michael Katseli and Linus Chee. Additional, he said that Katseli “illegally used Netvrk’s checking account deposits to qualify for [a] mortgage mortgage” on a private multi-million greenback house.

The now-deleted tweets additionally allege that Chee and Katseli have “defamed [Kennedy] by making unfaithful statements.”

Crypto advertising specialist Thony Nava summed up neighborhood sentiment across the tweets, saying that “headlines like this… It’s actually not encouraging for the decentralized dream.”

The NetVRk group responded to Kenney’s claims by posting on its official Telegram group. It denied “any wrongdoing” and mentioned the funds used to buy the house have been acquired via a mortgage issued by “mother or father firm” MetaRabbit LTD.

“Daniel Kennedy has accused me of misappropriating investor funds. I strongly deny any wrongdoing.

In Might of this 12 months, with a view to buy a house, I requested and acquired a $1,000,000 mortgage from MetaRabbit LTD, the mother or father firm liable for our offshore digital asset issuances.

These funds have been proceeds of a sale of NFTs and weren’t the proceeds of any funding actions of MetaRabbit or some other a part of the larger NetVRk company construction.”

The NetVRk group continued to state that the tweets have been ” inappropriate, unprofessional, and probably damaging to the entire mission.” The $NTVRK token is down roughly 30% up to now 24 hours alongside the scandal.

Supply: CMC

Chee, co-founder and present COO, alleged that Kennedy stole funds from NetVRk however clarified that:

“He didn’t steal many of the funds. [NetVRk] undoubtedly has working capital to proceed and ship as deliberate.”

No additional details about the character of the allegations of theft is out there presently because of pending authorized issues.

“Folks aware of the incident who’re near NetVRk advised CryptoSlate that Katseli’s mortgage is “above board” and there’s “no danger to investor funds.” They requested that their id stay non-public, pending an official assertion by the Firm.

Nonetheless, when requested what the official rationale for Kennedy’s elimination was, a NetVRk consultant was unable to remark and mentioned:

“The Firm doesn’t touch upon HR choices. We want Dan the perfect along with his future endeavors and thank him for his service to Netvrk.”


CryptoSlate is in touch with the NetVRk group and can replace the story as additional info involves gentle.

Leave a Comment

Your email address will not be published.