CEO Eric Schiermeyer and co-founder Wright Thurston's ongoing legal battle intensifies as Gala Games' GALA token nosedives, with accusations of fraud, asset misuse, and mismanagement, adding to the crypto's turbulent times.

Trackers reveal that the token had experienced a substantial decline of 72% since its peak in 2023 when it reached $0.062 in late January. Currently, GALA is valued at $0.017, almost erasing over 95% of the gains achieved earlier in the year and on the verge of retesting its all-time lows of around $0.016, registered in late 2022.

The downturn in GALA's value can be attributed to the broader bearish market conditions that have affected major cryptocurrencies like Bitcoin and Ethereum, thereby dragging down altcoins.

GALA's descent mirrors the slowdown observed in Bitcoin, as both assets undergo a correction following the surge on August 29. The surge was triggered by a US Court of Appeal ruling in favor of Grayscale, the issuer of GBTC, which heightened the possibility of a spot Bitcoin ETF approval by the US Securities and Exchange Commission (SEC).

However, GALA's struggle extends beyond market forces, as internal conflicts within Gala Games add further pressure to the token's value.

Schiermeyer and Thurston have recently filed lawsuits against each other, revealing a rift within the company. Schiermeyer accuses Thurston of illegally obtaining and selling $130 million worth of GALA tokens and stealing node licenses essential for the Gala game ecosystem.

Additionally, the CEO highlights Thurston's history of founding companies that ended in bankruptcy and calls for his replacement as director.

In response, Thurston and his investment vehicle, True North Investments, have accused the CEO of misusing company assets and engaging in fraudulent practices that have harmed Gala Games.

They alleged that Schiermeyer squandered millions of dollars, including $600 million in assets, and borrowed millions from the company for personal gain. Furthermore, they claim that the CEO established entities in Switzerland and Dubai that should rightfully belong to Gala Games.

As a result, the co-founder is seeking the removal of the CEO, who has held the position since 2021.

The token's future remains uncertain as GALA continues to face immense selling pressure amidst market challenges and internal disputes. Traders and investors closely monitor its performance, eagerly awaiting potential market catalysts or resolutions to the internal conflicts that may influence GALA's trajectory in the future.

Photo: Gala Games Website