GALA, Gala Games’ native token, has been under tremendous selling pressure since early September 2023. Trackers show that the token is down 72% from its 2023 peak when it rose to $0.062 in late January 2023, lower and down to $0.017 at the spot rate, generating more than 95% of early 2023 returns winnings have been returned. To illustrate, GALA is pennies away from retesting the all-time lows of around $0.016 recorded in late 2022.
GALA Prize on September 3rd | Source: GALAUSDT on Binance, TradingView
GALA Immerse yourself
The drop could be due to the unfavorable market-wide bear market conditions that have caused top coins, including Bitcoin and Ethereum, to surge before dumping, dragging altcoins even lower. The slowdown in Bitcoin was reflected in GALA as the token trended lower, erasing gains recorded on Aug. 29.
On the day, Bitcoin surged after a US appeals court ruled in favor of Grayscale, the issuer of GBTC. Although the court did not order the Securities and Exchange Commission (SEC) to convert the GBTC trust into an exchange-traded fund (ETF), the judge did not provide clear reasons why it denied Grayscale’s motion. BTC prices surged as the U.S. became more likely to approve a spot bitcoin ETF, giving altcoins including GALA a boost. However, the bears have successfully recouped losses as shown on the daily chart.
CEO versus co-founder
Market factors aside, GALA could fall to all-time lows largely due to internal infighting, which could put even more pressure on the token, which is already grappling with relentless bears. Court documents show CEO Eric Schiermeyer and co-founder Wright Thurston have filed lawsuits against each other.
Submissions show that Schiermeyer holds the co-founder responsible for the $130 million illegal acquisition and sale of GALA. The CEO also claims that the co-founder stole node licenses to run nodes within the Gala gaming ecosystem. He also cites Thurston’s history of starting businesses that often went bankrupt. The CEO wants the co-founder to be replaced as director.
The co-founder and his investment vehicle True North Investments, accuse The CEO accuses of squandering millions of dollars in company assets and engaging in fraudulent practices that harm the company. The co-founder claims the CEO misappropriated millions, including $600 million in assets, and borrowed millions of dollars himself from Gala Games. They also claimed that the CEO established companies in Switzerland and Dubai that were supposed to be part of Gala Games. The co-founder wants to sack the CEO, who has held the post since 2021.
Featured image from Canva, chart from TradingView
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