Believe founder Ben Pasternak accused of unauthorized token sales
Ben Pasternak, founder of memecoin launchpad Believe, faces allegations of unauthorized token sales related to artificial intelligence (AI) data firm Kled, according to statements from Kled CEO Avi Pastel.
- Ben Pasternak, founder of the memecoin launchpad Believe, is accused of unauthorized token sales linked to AI firm Kled, breaching an agreement not to sell tokens on the open market.
- Kled CEO Avi Pastel claims Pasternak sold tokens to a third party, disrupting the market, and misrepresented sales timing and pricing, forcing Kled to buy back his tokens multiple times.
- Pasternak has not responded publicly to the allegations, and his activity on X has been dormant since October 20.
Kled, a company that compensates users for personal data through labeling tasks including photo and essay uploads, provides collected data to AI companies for dataset improvement and software training purposes.
Pasternak had agreed not to sell his tokens on the open market and would pursue over-the-counter sales or supply burning if liquidity was needed, according to Pastel. However, Pastel stated that one day after Kled released its mobile application on Sept. 24, Pasternak transferred the majority of his tokens via OTC to an undisclosed third party, which subsequently began selling them.
“We were forced into damage control, scrambling to coordinate OTC solutions to prevent further market harm,” Pastel stated on X. See below.
Pasternak attributed the token sale to “taxes,” though Pastel said the explanation remained unclear and that Pasternak has not disclosed the third party’s identity.
Pastel alleged Pasternak reneged on OTC pricing agreements on four occasions and misrepresented the timing of his sales. The Kled team subsequently purchased his position through OTC transactions, reducing his holdings from approximately 6% to 3.5%, according to Pastel. Pasternak then indicated he would not sell the remaining tokens, but allegedly resumed sales one week ago, Pastel stated.
“Once again, our whales had to scramble to organize OTC buys, reducing his position to roughly 1.7%,” Pastel said, adding that Pasternak continued selling afterward. Pastel described Pasternak’s conduct as unacceptable and stated that builders should not work with him.
Pasternak has not responded to the allegations posted on X and has not been active on the platform since Oct. 20. Last month, Pasternak announced an AI startup on LinkedIn; Protos reported he has since removed all posts from the account.
Believe operated as a service, allowing users to create tokens by tagging the app’s LaunchCoin account.
Pasternak received a portion of the token allocations created on the platform as part of the terms, according to Pastel.
Kled separated from Believe in July and now retains all fees.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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