Steven Nerayoff, the CEO of Alchemist, was arrested last month for his involvement with a multi-million dollar cryptocurrency extortion scheme, which happened in 2017. Following his arrest, blockchain accelerator Techstars have ended their partnership with the firm.
Techstars explained how it was necessary to end the partnership because of the situation and issues that have come up recently, and their reputation was at stake as well. Alchemist started the partnership with Techstars in 2018 to help out blockchain entrepreneurs. Nerayoff was an accelerator in a project in New York City.
Techstars, however, said that they would continue with the projects and help the entrepreneurs in their projects with the help of other mentors and firms. Steven Nerayoff is a technology entrepreneur who is involved with CasperLabs, tZero, Ethereum, and other cryptocurrency projects.
Steven Neryaoff was arrested last month when he was charged for his involvement in an extortion case by the U.S. authorities. It was informed that he threatened a Seattle-based startup that offered cryptocurrency token as rewards to attract users and sell off their products to them. With his involvement in these cases, Steven can face up to 20 years in jail for the charges if convicted.