Fraud Alleged at Three Israeli ICOs That Raised $250M

The plaintiffs claim Sirin Labs, Stox and Leadcoin didn't fulfill product promises to investors.

AccessTimeIconMay 31, 2021 at 2:56 p.m. UTC
Updated Sep 14, 2021 at 1:04 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Three Israeli initial coin offerings (ICOs) linked to entrepreneur Moshe Hogeg are claimed in a lawsuit to have been scams.

  • As reported by The Times of Israel on Monday, the lawsuit filed May 25 claims token sales from Sirin Labs, Stx Technologies Limited (Stox) and Leadcoin had raised $250 million in total from investors, but the companies didn't develop products as investors had been promised.
  • Instead, the allegation from former employees of Hogeg-owned entities is that the funds were appropriated for personal use.
  • Hogeg and other defendants didn't respond to a Times of Israel request for comment. Hogeg, who owns 70% of Singulariteam, denied the allegations in another report, the online newspaper said.
  • Roee Brocial and Eran Okashi brought the $1.6 million lawsuit against Moshe Hogeg, Adi Sheleg, Ido Sadeh Man, Yaron Shalem, Shmuel Asher Grizim, Avishai Ziv, Singulariteam Holding II and Singulariteam Ltd.
  • The plaintiffs, employees of Sirin Labs and Singulariteam, respectively, are said to be on unpaid leave.
  • They claim they were fooled into investing their own money in the ICOs and encouraged friends and family to do the same, suffering financial harm and psychological trauma as a result, according to the report.
  • The owner of the Beitar Jerusalem soccer team, Hogeg has been hit by a number of lawsuits, including one for over $5.9 million in allegedly unpaid factory bills for the Sirin blockchain phone.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to to register and buy your pass now.