Ben.eth Demands Settlement Via NFT After $7M Token Sale Frenzy

Lawyer Mike Kanovitz, a partner at Loevy & Loevy, took to Twitter on May 20 to state that a “settlement demand letter has served as an NFT” to the wallet address associated with the alleged influencer. Kanovitz alleged that Ben.eth “used a manipulative launch strategy” over how the Liquidity Pools (LP) were structured and the way that the tokens “trickled out” on the recent presale for his token $PSYOP. Shortly after the accusation, Ben.eth tweeted that 50% of the tokens have been sent out and “the rest will be sent in short order.”

SO FAR, 50% OF $PSYOP PRESALE TOKENS HAVE BEEN SENT OUT. THE REST WILL BE SENT IN SHORT ORDER.

— ben.eth (@eth_ben) May 20, 2023

The letter from Kanovitz further stated that Ben.eth was guilty of wire fraud, which is a predicate act for racketeering and the basis for a treble damages award against him. The letter demanded a refund, and warned of potential legal action if refunds weren’t provided. Kanovitz threatened a subpoena on the alleged influencer’s communications which he said would put the final nails in the coffin. Furthermore, he suggested a potential “painful” process for Ben.eth, following a court filing, if the letter is not cooperated with. Kanovitz further added that he will reveal the in-real-life (IRL) identities of the influencers’ co-conspirators.

In response to the letter hours later on May 20, Ben.eth said the letter is “so unprofessional it could get them in trouble with the bar association.” Despite this, Kanovitz concluded the letter stating “you are engaging in real fraud, and it is hurting real people. There will be consequences if you don’t make it right.”

To @eth_ben and @psyopeth :
My law firm, Loevy & Loevy, will be filing a class action against you in your IRL name if you do not refund all of the $PSYOP presale purchasers immediately.
Our settlement demand letter has served as an NFT to your ben.eth address, viewable here:… pic.twitter.com/qaxhECDUhb

— Mike Kanovitz (@MikeKanovitz) May 19, 2023

Kanovitz and Ben is quite intense, with the former alleging the latter of serious wrongdoing. However, without further information, it is difficult to say who is in the right. Nevertheless, it is important that such allegations be taken seriously, especially when they involve such large sums of money. Only time will tell how this situation will unfold, and what the ultimate outcome will be for everyone involved.

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