Token creator Bryan Lawrence, who had hoped to list his token on the major cryptocurrency exchange crypto.com, reportedly sold his house to initiate a legal battle, alleging negligence against the exchange.
“The stress from these events has caused significant stomach issues, leading to four hospitalizations,” Lawrence states.
Lawrence Blames Lack of Security Measures
On Aug. 18, Bryan Lawrence, founder of Glow Token, made a statement on X platform that he has taken action against Forix Dax, the parent company of major cryptocurrency exchange crypto.com, citing negligence.
He alleges that either an employee or an external party who compromised the company’s internal communications took advantage of “a lack of security protocols,” which resulted in the misappropriation of funds set aside for the launch of Glow’s new token, FLARE.
He claims that on Mar. 16 he received correspondence from the exchange that he had fallen victim to a scam. After calling the exchange to verify chat logs in order to confirm the legitimacy of his transactions, the exchange reportedly revoked his access. Soon after, he reportedly received a cease and desist letter.
Lawrence states that the situation has caused him both financial and health issues.
“I had to sell my cherished home. This decision was not easy, as my home held great personal value” Lawrence states.
Lawrence is reportedly undergoing treatment for his ongoing stomach issues, which he claims are a direct result of his dealings with the exchange.
“I am currently consulting with specialists in the hope of finding a solution to my health problems,” Lawrence states.
This comes after recent reports that Crypto.com use of internal traders could prompt a regulatory notice.
On June 19, reports indicated that Crypto.com allegedly employs internal teams for market making and proprietary trading.
However, the use of internal traders at the exchange has not been disclosed to the public.
Crypto.com executives were reported to strongly deny the company’s involvement in trading.
Furthermore, employees reportedly received instructions to claim that no internal market maker operation ever existed.
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