Theta Labs, a blockchain video transmission network project, has recently caused a major stir. The company's two former executives, Jerry Kowal and Andrea Berry, filed a whistleblower lawsuit in a California court, accusing CEO Mitch Liu and the company itself of engaging in long-term fraudulent token operations.

According to the complaint, the issues go far beyond simple token manipulation. The two whistleblowers also allege that the company issued misleading promotional collaborations aimed at creating a false appearance of prosperity in the market. More seriously, Theta Labs is suspected of retaliating against internal dissenting voices and attempting to block whistleblowing channels.

The complaint further reveals that Mitch Liu conducted a series of improper operations through Theta Labs and its parent company, Sliver VR. The relationship network between these two companies appears to be used to conceal these actions.

This case highlights some governance and transparency issues within certain crypto projects. For investors and ecosystem participants concerned with this project, it is undoubtedly an important risk signal.