Mythical, a Web3 Game Studio, claims that its three former executives, who left the company in November, used the information they obtained to raise funds for Mythical to raise capital for their new firm, Fenix Games.
Breach of Trust
Chris Ko, Senior Vice President, Operations Director and Head of Game Matt Nutt, and Co-Founder Rudy Koch, who left Mythical Games in November 2022, founded Fenix Games together. Mythical Games recently filed a lawsuit alleging that these three executives violated their fiduciary duty while working at the firm. According to Mythical’s statement, Ko, Nutt and Koch were assigned to acquire investors for Mythical Ventures, the venture capital wing of Mythical Games, within the past year. Later, each announced separately that they were leaving the company in November.
Nate Nesbitt, Head of Communications at Mythical Games said: “We believe vry strongly in the protection of our intellectual property and corporate assets. In this instance, it was necessary to take steps to rectify this situation on the company’s corporate interest and our duty to protect our employees and as investors.”
These departed executives announced that they had raised funds from Cypher Capital, where they worked to raise capital for their new firm, Fenix Games, while they were working at Mythical Ventures. Mythical Games claims that its former executives stole Mythical’s capital-raising plans and transferred $150 million to Fenix Games while still working at the company.
Mythical Games sued Ko, Nutt and Koch for a total of 10 crimes, including fraud and breach of contract. In addition, the lawsuit demands the return of the stolen funds by the managers, taking measures against their use, and compensatory and punitive damages.
Mythical is a full-service system for developers and publishers to build blockchain-based play-to-earn economies or integrate them into their games, increasing engagement and unlocking new business and gaming models by making blockchain accessible and allowing players to become stakeholders.
About Fenix Games
Fenix Games is a Web 3.0 game publisher founded by gaming and Wall Street industry veterans who aim to revolutionize the way gamers engage with games through the power of blockchain and decentralization.
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