The founder of Berachain has dismissed a recent report that inaccurately claimed that a refund right of $25 million was granted to one of its major investors, Brevan Howard. In the report, it was stated that Brevan Howard’s crypto investment vehicle, Nova Digital, was provided a one-year refund right following a $25 million investment made during Berachain’s Series B fundraise in April 2024.

Unchained reported on the unfolding details and included a side letter signed by Berachain’s General Counsel Jonathan Ip and Nova’s Director Carol Reynolds. This letter indicated that Nova is entitled to recover “some or all” of its investment within twelve months after Berachain’s token generation event (TGE), which occurred on February 6, implying refunds could be sought until February 6, 2026.

Berachain’s Founder Speaks Out

Smokey The Bera, the anonymous founder of Berachain, referred to the earlier report as “inaccurate and incomplete," emphasizing that Brevan Howard’s involvement included several complex agreements that did not differ from those signed by other investors in the Series B round.

“Brevan Howard co-led our Series B a year ago, out of their Abu Dhabi office, via Nova, a liquid-only investment vehicle on the same terms as all other investors,” stated Smokey.

Additional Arrangements with Nova

Additionally, Smokey remarked that Nova sought provisions to mitigate scenarios where Berachain might not successfully launch its token or get listed. He further clarified that the side letter documented the commitments and additional arrangements necessary for Nova’s involvement, ensuring liquidity on Berachain’s network upon launch.

The BERA token has experienced a significant drop of 93% from its peak of $14.83, currently trading at $1.05, reflecting a 3.2% increase today according to CoinGecko.