Key Points
Steven Nerayoff, an early adviser to the Ethereum network, has launched a legal battle against the U.S. government.
He is seeking $9.6 billion in damages for what he claims were false charges and mistreatment by federal agents between 2019 and 2023.
Nerayoff, who had previously accused Ethereum co-founder Vitalik Buterin of fraud, instigated a Federal Tort Claims Act (FTCA) lawsuit in response to an extortion case brought against him in 2019.
The case persisted for approximately four years before being dismissed by the U.S. government in May 2023.
Details of the Lawsuit
A recent SF-95 filing, shared by FOX Business journalist Eleanor Terrett, reveals that Nerayoff’s lawsuit against the federal government is based on allegations that its agents knowingly pursued groundless charges against him.
He also claims that some agents used harassment and intimidation tactics, including the fabrication of evidence, to prosecute him for extortion.
Nerayoff’s legal team argues that the damage inflicted on Nerayoff’s reputation and businesses as a result of these actions is significant enough to warrant a lawsuit against the U.S. government.
The filing states: “As a direct and proximate result of the wrongful conduct of federal agents and/or officers, Mr. Nerayoff’s well-being, personal life and career were irreparably harmed. […] He incurred significant legal fees to defend himself while simultaneously losing income as a result of becoming a feared pariah in the crypto community.”
According to Terrett, Nerayoff has engaged the services of renowned lawyer Alan Dershowitz as a consultant on the case, who has described the case as “unusual.”
