WLFI Co-Founder Sued Over Dough Hack Reimbursement
The post WLFI Co-Founder Sued Over Dough Hack Reimbursement appeared on BitcoinEthereumNews.com.
According to a new report, World Liberty Financial (WLFI) co-founders Chase Herro and Zak Folkman did not reimburse clients of their last startup, Dough Finance, after a $2.5 million hack. Herro is currently being sued by a Dough investor to recoup his lost assets. World Liberty may be a Trump family project, but none of the Trumps have anything to do with this incident. Hopefully, this detail will encourage an easy settlement. WLFI Co-Founder Sued Over Dough Hack The crypto industry has seen a lot of world-famous hacking incidents, but minor ones can suddenly resurface in unexpected ways. Today, Reuters called attention to a July 2024 breach against Dough Finance that led to the loss of $2.5 million. The firm closed down shortly thereafter. After the hack, Dough’s co-founders went on to create WLFI, but investors remain at a loss: “YOU—the Dough Finance community—have passed the governance vote to make token holders whole! Passed with 99.5% support. Thanks for making your voices heard. The team is now working on fund distribution—stay tuned for updates!” Dough posted one month after the hack. This was its last public statement, remaining silent ever since. Shortly after the hack, Dough’s team acknowledged their mistakes, which enabled the theft to take place. They recovered $280,000, $180,000 of which were apparently delivered to former creditors. However, since Dough’s co-founders went on to create WLFI with Zack Witkoff, there haven’t been any new developments. Of Donald Trump’s various crypto projects, World Liberty Financial is currently attracting the most buzz. Between major partnerships and political controversies, Herro and Folkman’s new endeavor is making headlines and some serious profits. Regardless of personal opinions, the venture has certainly been a major success. Why, then, haven’t WLFI’s co-founders repaid their former backers at Dough? Last Friday, World Liberty invested $3 million…
Filed under: News - @ May 20, 2025 12:29 am