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Fetch.ai sues Ocean Protocol for selling 263 million FET illegally
Fetch.ai has filed a class action lawsuit against Ocean Protocol in New York, accusing the project of mismanaging tokens related to the AI Alliance ASI, affecting FET and OCEAN by the end of 2025. According to Fetch.ai, Ocean Protocol transferred approximately 700 million OCEAN — intended for the community — to a company in the Cayman Islands, then exchanged it for about 286 million FET and sold it off, causing the price of FET to plummet. Ocean Protocol denies the allegations, claiming that the lawsuit has been exaggerated by social media.
The lawsuit has raised concerns about transparency and market manipulation within the decentralized AI ecosystem, while causing a sharp decline in the price of FET. Fetch.ai CEO, Humayun Sheikh, has urged investors to document their losses and prepare to file lawsuits, pledging to fund legal actions aimed at protecting the community's interests.