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Digital Finance & Tokenization▼

Two DWF Labs Subsidiaries Sue BitGo for About 22.3 Billion Yen

Two subsidiaries of crypto firm DWF Labs have sued crypto custody service BitGo in London's High Court, the Financial Times and other outlets reported on October 9. The claim amounts to 141 million dollars, or roughly 22.3 billion yen, alleging breach of contract over token sale restrictions. The subsidiaries claim that BitGo sold tokens it had bought at a discount before the sale-restriction deadline, causing market prices to fall and the value of the tokens they continued to hold to decline as well. The lawsuit concerns Falcon Finance's token FF and the gaming-related token ESPORTS. The sale contracts initially included a three-month sale restriction followed by a phased release, but the subsidiaries argue the tokens were moved to exchanges about two months before the first restriction was lifted. DWF Labs is a company that invested in World Liberty Financial, which is backed by U.S. President Donald Trump and his family, and it reportedly purchased 25 million dollars' worth of WLFI tokens in 2025.
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Digital Finance & Tokenization › Crypto Exchanges, Custody & Digital-Asset Infrastructure ▼Pricing
BTGO · Regulation · Negative BitGo is the defendant, sued in London's High Court for ~$141M over alleged breach of token sale restrictions.
DWF Labs · Regulation · Neutral DWF Labs' subsidiaries are the plaintiffs suing BitGo, but the outcome and impact on DWF Labs are unclear.
FF · Regulation · Negative Lawsuit alleges BitGo dumped FF tokens early, causing FF's market price to fall and hurting holders.
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