A new development has emerged regarding CEA Industries (BNC), a $BNB treasury company funded by YZi Labs, the investment arm of Binance, the world’s largest cryptocurrency exchange.
Accordingly, an investor has filed a lawsuit against CEA Industries, a company focused on $BNB, over allegations of it being a shell company.
According to The Block, an investor has filed a lawsuit against CEA Industries, a Nasdaq-listed company focused on $BNB, alleging that the company operates like a ghost company with lax governance.
In this context, the plaintiff Abraham Gomez sued CEA Industries and CEA executive and 10X Capital co-founder Hans Thomas.
Gomez alleged in her lawsuit that when she visited CEA’s offices, she could not find any key executives or operational staff, and couldn’t even find a functioning website.
The lawsuit follows a previous governance dispute between YZi Labs and the CEA board of directors. YZi Labs said the allegations reinforce concerns it has been expressing for months about the company’s governance and its relationship with 10X Capital, which manages the CEA’s digital asset treasury.
As you may recall, YZi Labs (formerly Binance Labs) announced in February that it believed 10X Capital and its affiliates had violated disclosure rules regarding their shares in BNC.
*This is not investment advice.
