Blockchain
Skycoin Files RICO Lawsuit For $2.6 Billion Dollars in Damages Against Crypto Extortionists
Singapore, Singapore–(Newsfile Corp. – March 9, 2022) – Skycoin, a Singapore-based tech company involved in developing blockchain and telecommunications hardware and software has filed a lawsuit (Skycoin v. Stephens, 22-cv-00708, U.S. District Court, Northern District of Illinois, Chicago) against multiple defendants, including former contractors and two journalists. The former contractors are being sued for damages for carrying out a fraudulent invoice scam and their involvement in kidnapping Skycoin founder Brandon Smietana and his girlfriend in order to steal crypto assets. The two journalists are being sued for receiving money to publish false and defamatory statements against the company as part of an extortion racket.
On February 8, 2022, Skycoin Global Foundation Singapore filed a federal lawsuit against Bradford Stephens, Harrison Gevirtz f/k/a ‘HaRRo’, Ryan Eagle, Andrew Young, former Eagle Web Assets (EWA) associates Aaron Kunstman and Joel Wayne Cuthriell AKA ‘Caribou’, as well as Morgan Peck, Tristan Greene, Bryan Clark, Catherine Byerly, Steven Leonard, and Josh Ogle of Far Ahead Marketing for actions that occurred between 2018 and 2022.
Smietana was an early developer of Bitcoin and a crypto industry pioneer who participated in writing code for the world’s first cryptocurrency along with Satoshi Nakamoto. Skycoin was founded in 2012 to fix the outstanding issues with Bitcoin and was one of the first corporations involved in developing Web3. Skycoin developed and prototyped Obelisk, a low energy distributed database consensus, to enable zero CO2 and provide an alternative to the legacy blockchain consensus, which involves high overhead, such as the wasteful and energy intensive Proof of Work (PoW) consensus. Skycoin is also active in developing new telecommunication protocols for next generation internet, such as Skycoin’s Skywire virtual cloud and software defined networking (SDN).
During its launch in 2013, Skycoin created and distributed 100 million units of digital property called Skycoin tokens. By January of 2018, the Skycoin token’s total market capitalization surpassed 5 billion US dollars.
Amidst the Wild West conditions that prevailed at the peak of the 2018 crypto currency financial bubble, which emerged due to the completely unregulated nature of this new and emerging market, a slew of hustlers, scammers, and opportunists with questionable morals appeared, attracted by the prospects of earning quick money.
Recognizing Skycoin’s success in 2018, Bradford Stephens, Harrison Gevirtz, and other defendants are said to have devised a series of schemes to defraud, steal, and extort money and assets from Skycoin.
The Claims
In early 2018, Skycoin contracted Stephens and Gevirtz to launch and manage a comprehensive marketing and brand awareness program, while improving their website and performing SEO optimization. They were paid $1 million in Skycoin tokens and Bitcoin for their services. The lawsuit alleges that they then used fraudulent means to extort additional money from Skycoin, which included demanding $100,000 – $300,000 monthly to stop spamming the company’s website in an SEO cyber extortion racket. The defendants later demanded that $30 million in Bitcoin and $1 million in cash be paid to their ‘marketing firm’ to prevent the company’s token from being delisted from top exchanges and blacklisted from the industry.
The company later discovered that Stephens, Gevirtz, and their business partners were former associates of the notorious company Eagle Web Assets (EWA), which had been sued by the US federal government and was under an FTC injunction for deceptive and illegal online marketing practices.
It is further alleged that Stephens and another defendant were involved in kidnapping Smietana and his girlfriend in Shanghai 2018. It is believed that the objective of these criminal acts was to extract passwords, source code, and other information from Smietana’s computer system. The assailants stole about $139,000 in Bitcoin and $220,000 in Skycoin after beating and torturing Smietana in his home for six hours. The assailants were arrested, convicted, and sentenced to prison time. It is also alleged that Stephens and others demanded ransom to release Skycoin computer accounts and engaged in invoice fraud, which included presenting the company with a bill for $50,000 in unaccounted for cash expenses that were allegedly incurred over two days in Las Vegas.
Also listed in the lawsuit is a scheme allegedly hatched by Stephens, Kuntsman, Cuthrial, and others to have Skycoin delisted from Binance, one of the main markets for its Skycoin currency, after the company refused to give in to demands to pay them 50 bitcoins (about $2 million at the time) in extortion money. Skycoin was consequently delisted from Binance, after the crypto exchange received a barrage of false complaints and rumors. Afterwards, Cuthrial congratulated the conspirators with public messages reading “Nice work team” and “PARTY TIME.”
Skycoin Products
According to the company’s website, “Skycoin was created as an answer to the shortcomings of both Bitcoin and Ethereum. Born out of necessity, no other coin was fulfilling Satoshi’s original vision of a fully decentralized digital currency.”
The company develops hardware and software that help both companies and individuals take advantage of blockchain technology. Among their products are Skycoin’s Fiber blockchain platform, an infinitely scalable and highly customizable parallel peer-chain architecture; CX, a feature-rich programming language specialized for the development of blockchain applications; and Skyminer, specialized hardware for running nodes on Skywire network, as well as zero-config hardware and blockchain solutions for corporate networking.
In commenting on his company’s decision to file the lawsuit, Smietana observed:
“This lawsuit and issues surrounding it are very difficult. We didn’t file this lawsuit lightly. The issues here have stretched on for several years now. Many preferred for these issues to remain private, but we understood, at this point, that their actions are causing severe damage to our community and company. We have exhausted all other options with respect to this situation and it is necessary to resolve these problems.”
Contact:
Mike Crown
[email protected]
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/116110
Blofin
Blockchain
Blocks & Headlines: Today in Blockchain – May 19, 2025 | DoubleZero, Toobit, Story Protocol, Marco Polo, Argo Blockchain
May 19, 2025 — As the blockchain industry surges into its next phase of maturity, today’s briefing spotlights five pivotal developments shaping the crypto ecosystem: the physical limits of the public internet, a major exchange’s European push, Hollywood’s bet on Web3, blockchain’s role in global trade finance, and the drive for sustainable mining. Together, these stories reflect an industry wrestling with infrastructure bottlenecks, forging new community models, and renewing its environmental and regulatory commitments. From fiber-optics rails to Hollywood IP tokenization, let’s unpack what matters today—and why it matters to you.
1. Breaking the Bandwidth Barrier: DoubleZero’s Quest for High-Speed Blockchain Rails
The Story: At Consensus 2025 in Toronto, DoubleZero co-founder and CEO Austin Federa warned that today’s public internet “was never built for high-performance systems,” creating a critical bottleneck for high-throughput blockchain networks. Unlike traditional client–server models, modern blockchains require validators to rapidly switch between heavy data consumption and mass broadcast, demanding both low latency and massive bandwidth. By building dedicated fiber-optic communication rails, DoubleZero aims to slash transaction latency, tighten DeFi spreads, and unlock new use cases once stymied by internet constraints. Founded in late 2024, the project raised $28 million and plans its public mainnet launch in H2 2025, following an April token sale open to validators from Solana, Celestia, Sui, Aptos, and Avalanche.
Analysis & Implications: Federa’s remarks signal a shift: the limiting factor for blockchain performance has moved off software and compute and onto physical infrastructure. As decentralized networks scale, the quality of global connectivity becomes paramount. For DeFi traders, faster rails could mean tighter arbitrage windows and lower slippage; for enterprise adopters, sub-second confirmations could finally rival traditional payment rails. Yet building and maintaining dedicated networks carries capital and regulatory burdens. Will blockchain projects partner with telecom giants or build private consortia? How will this influence the ongoing L2 vs. L1 scalability debate? As the blockchain space broadens into enterprise domains, physical network investments may become as strategic as protocol design.
Source: Cointelegraph
2. Toobit’s European Expansion: Platinum Sponsorship at Dutch Blockchain Week
The Story: On May 19, Toobit announced its role as Platinum Sponsor of Dutch Blockchain Week 2025 (May 19–25) and revealed plans to host a booth at the Dutch Blockchain Summit in Amsterdam on May 21–22. Coming off its Platinum role at Web3 Amsterdam earlier this year, the award-winning derivatives exchange seeks to deepen ties with Europe’s crypto community—showcasing trading solutions, exploring partnerships, and engaging physically with its user base.
Analysis & Implications: Sponsorship of marquee events like Dutch Blockchain Week underscores exchanges’ pivot toward community engagement and regional regulatory alignment. As the EU advances its Markets in Crypto-Assets (MiCA) framework, European crypto players face both opportunity and uncertainty. Toobit’s visible presence signals confidence in the continent’s evolving legal landscape—and the strategic importance of in-person dialogue. Beyond brand building, these events catalyze partnerships with custodians, DeFi projects, and institutional investors. For traders, this focus on local engagement could translate into tailored products—European stablecoins, localized fiat on-ramps, or region-specific compliance tools. Toobit is betting that boots on the ground matter as much as bits on the chain.
Source: GlobeNewswire
3. Hollywood Meets Web3: David Goyer’s “Emergence” Universe on Story Protocol
The Story: At Consensus’s Toronto conference, filmmaker David Goyer (Blade trilogy, The Dark Knight, Apple TV’s Foundation) unveiled Emergence, a sprawling sci-fi franchise built on his blockchain platform Incention and powered by Story Protocol. Leveraging a 2,500-page story bible and an AI “Atlas” agent, Goyer plans community-driven storytelling—fans co-create characters, up-vote submissions, and share licensing upside via on-chain smart contracts. Story Protocol, which has raised over $80 million from a16z, Hashed, and Endeavor, offers IP registration, royalty-sharing, and permissioned remixing, aiming to decentralize franchise building.
Analysis & Implications: Goyer’s venture epitomizes the emerging creator economy in Web3, where tokenized IP and community governance challenge Hollywood’s top-down model. By placing narrative rights and royalties on-chain, creators and fans potentially share in franchise upside—aligning incentives but also demanding robust smart-contract frameworks. Yet risks abound: quality control, legal enforceability of on-chain IP, and community moderation. Will traditional studios adapt or resist? And can emergent on-chain governance scale for billion-dollar franchises? As AI and blockchain converge, the entertainment industry faces disruptive opportunities—and headwinds—around ownership, monetization, and creative collaboration.
Source: CoinDesk
4. Beyond Letters of Credit: Blockchain’s Transformative Role in Digital Trade Finance
The Story: In a comprehensive overview, Global Trade Magazine highlights blockchain’s potential to overhaul international commerce by digitizing trade finance workflows. Traditional paper-based processes—letters of credit, bills of lading—are slow, error-prone, and fraud-susceptible. Blockchain introduces immutable, shared ledgers and smart contracts that automate payment releases (e.g., upon IoT-verified delivery), collapse settlement times from weeks to hours, and enhance KYC/AML compliance via permissioned networks. Platforms such as R3’s Marco Polo, the we.trade consortium, and IBM/Maersk’s TradeLens demonstrate real-world deployments. Looking ahead, AI, machine learning, and IoT integration will further streamline risk scoring and anomaly detection—but challenges around protocol interoperability, regulatory standardization, and legal enforceability remain.
Analysis & Implications: As global trade rebounds post-pandemic, inefficiencies in trade finance cost banks and businesses billions annually. Blockchain’s promise lies in single-source-of-truth data sharing—cutting reconciliation costs and unlocking capital. For DeFi projects eyeing institutional corridors, tokenized trade-finance instruments could represent multi-trillion-dollar on-chain markets. Yet widespread adoption hinges on multi-stakeholder collaboration—banks, customs agencies, insurers, and carriers—and on harmonized regulations. The next frontier: bridging public and private blockchains, ensuring data privacy while enabling transparency. For blockchain advocates, trade finance offers both a showcase and a stern test of real-world scalability.
Source: Global Trade Magazine
5. Argo Blockchain’s Green Mining Playbook for 2025
The Story: UK-based miner Argo Blockchain (LSE: ARB, NASDAQ: ARBK) continues to expand sustainable crypto-mining operations in 2025. Leveraging hydroelectric power in Quebec and deregulated energy in Texas, Argo mined 1,298 BTC in 2024 at 2.8 EH/s capacity. In March, it announced a $25 million credit facility to upgrade its Texas data center with next-gen ASICs—targeting a 20% hash-rate boost by Q3 2025. With 95% of Quebec power from renewables, Argo aims for 3.5 EH/s by 2026. Competitors Marathon Digital (29.8 EH/s) and Riot Platforms (22.5 EH/s) focus on vertical integration and energy arbitrage, but remain more reliant on fossil fuels. Facing Bitcoin’s price swings, halving pressure, and potential regulatory curbs, Argo’s public listing and green credentials position it to attract ESG-conscious investors.
Analysis & Implications: Crypto mining’s environmental impact remains a flashpoint. Argo’s renewable-first strategy offers a template for sustainable operations, but scaling green hashing sustainably—and profitably—poses capital and regulatory challenges. As governments scrutinize energy usage, mining hubs may shift toward regions with abundant renewables. The storage of zero-carbon electricity via mining rigs could even emerge as a grid-stabilization service. Yet profitability remains tightly coupled to Bitcoin’s price and block rewards. For institutional backers and ESG funds, companies like Argo may represent the safest crypto-mining bet. However, industry consolidation and hardware innovation cycles will determine who thrives in this high-stakes infrastructure race.
Source: Blockchain Magazine
Conclusion: Key Takeaways
-
Infrastructure Matters: With dedicated fiber-optics rails, projects like DoubleZero spotlight that blockchain scaling is as much about hardware as code.
-
Regional Engagement: Toobit’s European sponsorship underscores the ongoing importance of in-person community building amid evolving regulatory regimes.
-
Creator-Economy Revolution: David Goyer’s Emergence franchise illustrates Web3’s potential—and complexities—in democratizing IP creation and monetization.
-
Institutional Use Cases: Trade finance remains a prime arena for blockchain’s real-world impact, but adoption depends on interoperability and regulation.
-
Sustainability Imperative: Mining firms like Argo must balance growth, profitability, and environmental stewardship to appeal to both crypto purists and ESG investors.
As the blockchain and cryptocurrency landscape advances, these stories offer a snapshot of an ecosystem grappling with scale, regulation, community, and sustainability. Stay tuned for tomorrow’s briefing—where we’ll continue to track the innovations and challenges defining Web3’s evolution.
The post Blocks & Headlines: Today in Blockchain – May 19, 2025 | DoubleZero, Toobit, Story Protocol, Marco Polo, Argo Blockchain appeared first on News, Events, Advertising Options.
-
Blockchain Press Releases5 days agoFintica AI and Mima Wallet Announce Strategic Partnership and Launch Joint Venture, Fintica Crypto Ltd
-
Blockchain5 days agoBlocks & Headlines: Today in Blockchain – May 15, 2025 (BTC’s Push, Pi Network Fund, Stablecoin Levers, JPM Pilot, OKX × Man City)
-
Blockchain5 days agoBDM Digital Initiates Promising Dialogue with Stanford Law School in Pursuit of Strategic Partnerships in Silicon Valley
-
Blockchain5 days ago
Wen Acquisition Corp Announces the Pricing of $261,000,000 Initial Public Offering
-
Blockchain4 days ago
Mercurity Fintech’s Subsidiary Grows Cross-Border Business Advisory Services with New Asia-Pacific Healthcare Client Engagement
-
Blockchain4 days agoSaudi Arabia Loan Aggregator Market Report 2025: Retail Digital Payments Hit 70% as Tech Adoption Transforms Saudi Financial Services – Competition, Forecast & Opportunities to 2030
-
Blockchain Press Releases5 days agoHTX Hot Listings Week 6 May 2025: Top Gainer Up 521% as Bitcoin Breaks $100K Again
-
Blockchain4 days ago
Blocks & Headlines: Today in Blockchain – May 16, 2025
