ON DIOGENES, STREAM AND ARAGON
Recently, Diogenes Casares (founder of Stream Finance) made headlines across crypto for allegedly losing $93m in user funds.
Prior to this incident, Diogenes also had a history with Aragon through Patagon, his personal “raider” entity. He or his firm had previously lost $800k of Aragon treasury funds in one transaction to a fake token airdrop address. Given his assumed sophistication, one can interpret such action as either reckless or malicious.
Having extensively interacted with him—as he was the main one pushing for raiding Aragon’s treasury—I have my own opinions on the matter, which I will reserve to myself.
I am extremely sorry for all Stream users who lost money. We fought so hard, for so many years, to make this space trustworthy. This doesn’t set back Stream, it sets back all the space—from curators, to stablecoins, to lending protocols.
This hits hard since Diogenes led an extensive defamation campaign against Aragon and myself for stealing ICO funds, all of which was unfounded, completely untrue, and entirely self-serving to Diogenes’ goals of raiding the Aragon treasury.
The irony hits hard: he falsely accused me of stealing funds, only for his own project to allegedly leave their users empty handed.
So I want to set the record straight: I did not steal or misuse one cent from Aragon’s treasury.
Patagon eventually filed a complaint and a motion for a Temporary Restraining Order in the NYC courts to exercise pressure on Aragon and me to try to give in to their self-serving demands. The judge quickly dismissed it, in what I perceived as a quite humiliating hearing for Patagon. (It was my first court hearing and I thoroughly enjoyed it)
But the reputational damage to me was done. Headlines have been published about how I had stolen funds from Aragon’s treasury, based on the false statements and mischaracterizations in Patagon’s court filings. Even though Patagon’s case failed miserably, old news articles still linger painting me as the villain.
Nothing could be further from the truth. My salary as Executive Director was an average of $150k/year. We always, always saw the ETH we raised not as personal funds, but as the funds to carry out a visionary mission. (Most founders that did an ICO definitely did not treat funds that way)
We ran the second Ethereum grants program ever. We ran all operations transparently and legally.
After 6 years of operations, Aragon even gave back 86k ETH to ANT holders.
If I had stolen the funds, I would likely be a billionaire—albeit one that wouldn’t sleep well at night, because my principles cannot be bought with money. Today, thanks to all our hard work, Aragon helps Lido, Curve and other projects safeguard >$35bn in funds. We created an entire movement. We made DAOs happen and helped the entire industry move forward.
The worst thing about Adonai (Diogenes’ degen pseudonym) was the tactics he used. From setting up honeypot calls, doxxing up team members (and their home address),and using countless social media puppets to issue violent threats. And there is much more to it, as different people have sent me jaw-dropping materials that I wasn’t even aware of.
This was such a hard thing to reconcile. I admired his father, Wences Casares, ever since I got into Bitcoin.
I used to always assume the best of people. When Diogenes reached out to me, I thought he was just a young guy starting his crypto career as a founder. I took calls with him, even optimistically offered to angel invest. Little did I know of his intentions.
I have to thank him, for I am now much more belligerent, and won’t fuck around if bad actors try to take advantage of me or my projects.
Stay safe,
Luis