Proton Management denies Swan Bitcoin’s involvement in the mining division: the activity allegedly belongs to a third company, in which Swan holds a minority stake.
According to Coindesk, in a legal response, Proton Management stated that Swan Bitcoin has never been involved in mining operations, contrary to the accusations made by the company. The legal dispute concerns alleged attempts by former Swan employees to illegally appropriate the company’s mining division.
Separation of business entities
Proton Management emphasized that Swan’s mining activity is actually linked to a separate company called 2040 Energy, entirely funded by Tether, in which Swan holds only a minority stake. Proton clarified that Swan does not control 2040 Energy and that the skills and efforts of former Swan employees have successfully advanced the mining operations of this separate entity.
Last August, due to Swan’s financial difficulties, several employees reportedly resigned to join Proton. The former employees are said to have continued working for 2040 Energy. In the document, Proton wrote:
“Far from damaging Swan, Proton is enhancing the value of its minority stake in 2040 Energy.”
Denial of accusations
Proton, rejecting the accusations of improper use of confidential business information or trade secrets, also questioned whether such information actually belongs to Swan, suggesting instead that it might belong to 2040 Energy. In its response, Proton asserted that Swan has not suffered damages due to its activities related to 2040 Energy.
Proton has also requested the dismissal of the case, contesting both the legal notification and California’s jurisdiction, arguing that it has no commercial ties to the state, being a company based in the British Virgin Islands.
