A feud between Fetch.ai CEO Humayun Sheikh and the Ocean Protocol Basis has escalated into authorized threats, onchain accusations, and a response from Binance, all centering on about 286 million Fetch.ai (FET) tokens price roughly $84 million.
The battle stems from the Synthetic Superintelligence (ASI) Alliance, a 2024 merger that mixed AI-focused crypto initiatives Fetch.ai, Ocean Protocol and SingularityNET underneath a shared token framework.
On Wednesday, Sheikh alleged that Ocean Protocol minted and transferred tens of millions of OCEAN tokens earlier than the merger. He stated the undertaking later transformed them into FET and moved giant sums to centralized exchanges and market-making companies with out correct disclosure.
“If Ocean as a stand-alone undertaking did this, it could be classed as a rug pull,” Sheikh wrote on X, detailing how 719 million OCEAN had been minted in 2023, with 661 million swapped for 286 million FET in July 2025. He alleged that parts of those tokens had been subsequently moved or liquidated.
Supply: Humayun Sheikh
Binance restricted help for OCEAN tokens
Amid the escalating dispute, crypto change Binance introduced that it’s going to stop help for Ocean deposits beginning subsequent Monday, Oct. 20.
Whereas the change stated customers can nonetheless deposit utilizing different supported networks, it stated ERC-20 deposits made after Oct. 20 “won’t be credited and should result in asset loss.”
Although the change didn’t point out the dispute because the trigger for the transfer, limiting ERC-20 deposits means that the change is conducting inner threat controls or investigations, as most of the disputed tokens are on Ethereum.
Sheikh interpreted Binance’s determination to stop help for the tokens because the change “listening” to his public calls on X to research Ocean Protocol’s token transfers.
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Sheikh pledges class-action lawsuits, Ocean Protocol responds
Sheikh pledged to fund class-action lawsuits throughout three or extra jurisdictions and known as on Binance, GSR and ExaGroup to research. He additionally known as on FET tokenholders to arrange proof towards Ocean Protocol, as he stated he would arrange a channel for them to submit their claims.
Ocean Protocol responded on X, denying the allegations outright and describing them as “unfounded claims and dangerous rumors.”
In an official assertion on X, the corporate stated its treasury was intact and that it had prompt waiving confidentiality over an adjudicator’s findings associated to the dispute. Ocean claimed Sheikh refused this proposal.
Supply: Ocean Protocol
“Ocean is working and lively,” the submit stated. “We’re making ready responses to the assorted unfounded claims and allegations whereas respecting the ambits of the legislation.”
The point out of an adjudicator means that the battle has already reached a proper authorized arbitration, probably underneath the merger framework that ruled the ASI Alliance’s token conversions.
Cointelegraph reached out to Fetch.ai and Ocean Protocol, however had not acquired a response by publication.
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