🌎 Eclipse Announces New CEO Amid Sexual Misconduct Allegations

Ethereum Layer-2 Project Eclipse Announces Leadership Change Amid Controversy

Ethereum layer-2 project Eclipse has announced a leadership shift following allegations of sexual misconduct against its former CEO. Neel Somani, the project’s founder and former CEO, has stepped down from his role. According to a May 16 announcement from Eclipse Labs, Somani will be succeeded by Vijay Chetty, effective immediately.

The announcement did not specify the reasons behind Somani’s departure. Chetty, who is now leading Eclipse, previously served as the project’s growth officer. His past experiences include leadership roles at dYdX Trading, Ripple Labs, and Uniswap Labs. He has also worked with investment management firm BlackRock.

Somani has denied all allegations of sexual misconduct. On May 9, he announced that he was temporarily reducing his public presence following the accusations. He asserted that he has not sexually assaulted or harassed anyone.

On the same day, Eclipse stated that it takes the allegations seriously and believes in the importance of truth. The cryptocurrency community reacted swiftly, with some suggesting that Somani’s resignation indicated guilt.

“If we heard this doing only minimal diligence, there’s no way the actual investors didn’t also hear the same,” wrote Haseeb Qureshi, managing partner at Dragonfly Capital.

Some of Eclipse’s backers and investors have also expressed their concerns. Dragonfly Capital revealed that it passed on an investment opportunity in Eclipse after conducting background checks and learning about Somani’s history of sexual harassment claims.

Hack VC, an investor in Eclipse, also expressed its discontent, stating that it was deeply troubled by the allegations against Somani. The firm revealed that it had urged Somani to resign and was pleased with his decision to step down.