A court in Paris sentenced a former employee who illegally minted 1 billion HLG tokens to five years in prison and rejected the foundation’s compensation claim.
According to Wu Blockchain, a former Holograph Foundation employee was convicted in 2024 of illegally minting 1 billion HLG tokens, worth approximately $14 million at the time. Two years of the five-year sentence will be served, while the remaining three years were suspended.
The defendant reportedly manipulated the token-minting process to transfer the tokens to personal wallets, then moved the proceeds through cryptocurrency exchanges with two accomplices. The accomplices received suspended or partially suspended sentences, along with fines of 80,000 and 40,000 euros.
Holograph’s compensation claim rejected
The court rejected Holograph Foundation’s compensation claim over the token’s price decline. It cited insufficient evidence to establish a direct causal link between the defendant’s actions and the price decline.
Not investment advice.