In the world of blockchain gaming, Gala Games has been a rising star, captivating enthusiasts with its innovative approach and unique ecosystem. However, the project is currently facing a storm of controversy as its leadership, including CEO Eric Schiermeyer and co-founder Wright Thurston, are embroiled in a bitter legal dispute that is sending shockwaves through the blockchain gaming community.
The Schiermeyer Lawsuit
In a startling turn of events, Gala Games CEO Eric Schiermeyer has filed a lawsuit that alleges serious wrongdoing by co-founder Wright Thurston. The lawsuit centers around the unlawful acquisition and trading of a staggering $130 million worth of GALA tokens, the native currency of the Gala Games ecosystem.
Schiermeyer's lawsuit, filed on behalf of Blockchain Game Partners, the company behind Gala Games, accuses Thurston of stealing a jaw-dropping 8.645 billion GALA tokens in 2021. Thurston, when confronted, claimed that he was merely safeguarding these tokens in secure wallets for the benefit of Gala Games. However, according to the lawsuit, Thurston subsequently initiated a complex series of transactions to exchange, hide, or sell the stolen tokens, ultimately profiting to the tune of $130 million.
Additionally, the suit alleges that Thurston illicitly acquired licenses for Gala game node operations, selling them for personal gain. It further contends that Thurston, despite being an absentee director compared to the CEO, paid himself over ten times Schiermeyer's compensation.
Schiermeyer's objectives in this legal battle are clear: he seeks the disgorgement or restitution of the stolen assets, compensation for damages, and the removal of Thurston as the director of Gala Games.
Thurston's Response
Wright Thurston's counterclaim paints a contrasting picture. Thurston is seeking the removal of Eric Schiermeyer as a director, citing allegations of "corporate waste, conversion, unjust enrichment."
Thurston's lawsuit maintains that Gala Games suffered substantial losses under Schiermeyer's leadership, including the burning of approximately $600 million in Gala and shareholders' assets. Furthermore, Thurston accuses Schiermeyer of borrowing money from the company for personal use and establishing offshore entities to exploit business opportunities intended for Gala Games.
Impact on GALA Token Value
As these legal battles unfold, GALA token holders are left with uncertainty. The Gala Games community has witnessed a nearly 8% drop in token value over the last 24 hours, adding to the challenges that the GALA token has faced over the past year. It's worth noting that the token's value has plummeted by a staggering 97.9% from its peak of $0.83.
A Ripple Effect in the Gala Games Community
While #Gala #Games executives engage in this legal tussle, other members of the company, such as Jason Brink, the President of Blockchain at Gala Games, are choosing to remain neutral. Brink has welcomed the transparency that these lawsuits promise to bring to the fore, shedding light on the internal workings of Gala Games.
The Gala Games saga serves as a stark reminder that even in the dynamic and promising world of blockchain gaming, disputes and controversies can disrupt the path to success. As this legal battle unfolds, all eyes are on Gala Games, hoping for a resolution that will allow this innovative project to regain its momentum and continue shaping the future of blockchain gaming.