{"id":178261,"date":"2023-10-21T02:39:10","date_gmt":"2023-10-20T21:09:10","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=178261"},"modified":"2023-10-21T02:39:10","modified_gmt":"2023-10-20T21:09:10","slug":"joseph-lubin-consensys-sued-by-early-employees-over-2020-restructuring-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/joseph-lubin-consensys-sued-by-early-employees-over-2020-restructuring-crypto-news\/","title":{"rendered":"Joseph Lubin, Consensys sued by early employees over 2020 restructuring – Crypto News"},"content":{"rendered":"

Ethereum (ETH<\/a>)\u00a0co-founder and Consensys CEO Joseph Lubin<\/a> faces a lawsuit from 27 early employees who allege Lubin broke contractual agreements regarding equity shares.<\/p>\n

According to the lawsuit, filed<\/a> in the New York Supreme Court, Lubin promised employees \u201chub equity\u201d in ConsenSys (as it was styled at the time), meaning shares in the central ConsenSys entity that would own the various products and subsidiaries.<\/p>\n

This equity was offered as compensation for joining the company in its early stages at below-market salaries. Lubin stated the employees would be \u201cjoint stakeholders\u201d and share in the potential upside of ConsenSys\u2019s growth.<\/p>\n

However, in August 2020, ConsenSys underwent a restructuring whereby the core assets, including MetaMask, Infura, and Codefi, were transferred to a new Delaware entity, ConsenSys Software Inc.<\/a> (CSI), leaving the original Swiss entity ConsenSys AG holding less valuable assets.<\/p>\n

Lubin emerged with a 52.5% stake in CSI, while most early employees were not offered shares. The employees allege this was a breach of contract regarding the promised \u201chub equity.\u201d<\/p>\n

The filing claims the asset transfer was executed without notice, shareholder vote, or offering employees the chance to participate. It alleges the valuation was manipulated to benefit Lubin\u2019s personal interests.<\/p>\n

It further claims Lubin misled employees about their position, rights, and the company\u2019s plans. The employees are seeking damages for lost upside in ConsenSys\u2019s growth, which they say robbed them of returns they were promised for their early risk-taking and contributions.<\/p>\n

The complaint, filed with the New York Supreme Court, demands a jury trial and seeks \u201cdamages in amount to be determined at trial, including, but not limited to, Plaintiff\u2019s expectation damages, disgorgment, and Plaintiff\u2019s damages suffered as a result of Lubin\u2019s [et. al.\u2019s] actions; and\u2026 granting Plaintiffs such other and further relief as the Court may deem just and proper.\u201d<\/p>\n

Lubin has not yet filed a response to the lawsuit.<\/p>\n

The post Joseph Lubin, Consensys sued by early employees over 2020 restructuring<\/a> appeared first on CryptoSlate<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Ethereum (ETH)\u00a0co-founder and Consensys CEO Joseph Lubin faces a lawsuit from 27 early employees who allege Lubin broke contractual agreements regarding equity shares. According to the lawsuit, filed in the New York Supreme Court, Lubin promised employees \u201chub equity\u201d in ConsenSys (as it was styled at the time), meaning shares in the central ConsenSys entity […]<\/p>\n","protected":false},"author":2,"featured_media":178262,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-178261","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178261","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=178261"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178261\/revisions"}],"predecessor-version":[{"id":178263,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/178261\/revisions\/178263"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/178262"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=178261"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=178261"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=178261"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}