Nova

Berachain

April

The founder of Berachain has thrown cold water on a recent report suggesting that one of its lead Series B backers was granted the right to be refunded $25 million, calling the framing “incomplete” and “inaccurate.”
Unchained <a href="https://unchainedcrypto.com/berachain-documents-show-brevan-howard-offered-25-million-refund-right/" rel="noopener noreferrer nofollow" target="_blank">reported</a> on Monday that Berachain gave Brevan Howard’s crypto-focused fund, Nova Digital, a one-year right to a refund on its $25 million investment in <a href="https://cointelegraph.com/news/web3-investment-up-55-q1-crypto-vc-interest-rebounds" rel="noopener noreferrer nofollow">Berachain’s Series B</a> round in April 2024.
Unchained also provided a side <a href="https://unchainedcrypto.com/wp-content/uploads/2025/11/side-letter.pdf" rel="noopener noreferrer nofollow" target="_blank">letter</a> signed by Berachain general counsel Jonathan Ip and Nova director Carol Reynolds that said Nova can recoup “some or all” of its investment for “twelve months following” Berachain’s token generation event (TGE).
Berchain’s TGE, or token <a href="https://cointelegraph.com/explained/crypto-token-supplies-explained-circulating-maximum-and-total-supply" rel="noopener noreferrer nofollow">mint</a>, took place on Feb. 6, meaning Nova could reportedly get a refund on its bet until Feb. 6, 2026.
<h2 id="berachain-founder-brevan-given-the-same-terms-as-others">Berachain founder: Brevan given the same terms as others</h2>
Smokey The Bera, <a href="https://cointelegraph.com/news/berachain-joins-race-for-real-time-blockchains-with-sub-second-transactions" rel="noopener noreferrer nofollow">Berachain’s anonymous</a> founder, <a href="https://x.com/SmokeyTheBera/status/1993109710510178335" rel="noopener noreferrer nofollow" target="_blank">said</a> on Monday that the report was “inaccurate and incomplete” and Brevan’s “investments involve several complex commercial agreements, but they participated in the Series B fundraise on the same paperwork as all investors.”&nbsp;
“Brevan Howard co-led our Series B a year ago, out of their Abu Dhabi office, via Nova, a new liquid-only vehicle on the same terms as all other investors. Nova had approached Berachain to lead the round some months prior to this,” said Smokey.&nbsp;
<figure>
 <img src="https://s3.cointelegraph.com/uploads/2025-11/019ab98c-936d-7de2-a880-f9da4b243a6e" title="" alt="Berachain disputes ‘framing’ of a $25M refund deal to Brevan Howard">
 <figcaption style="text-align: center;">
 Source: <a href="https://x.com/SmokeyTheBera/status/1993109710510178335" rel="noopener noreferrer nofollow" target="https://x.com/SmokeyTheBera/status/1993109710510178335">Smokey The Bera</a>
 </figcaption>
</figure>
<h2 id="nova-agreed-to-additional-arrangements-says-smokey">Nova agreed to additional arrangements, says Smokey</h2>
Smokey said that Nova asked for a provision “to guard for a scenario in which Berachain failed to TGE and get listed.”
They said if that happened, the locked Berachain (<a href="/berachain-price-index" rel="noopener noreferrer">BERA</a>) tokens Nova <a href="https://cointelegraph.com/learn/articles/token-swaps-vs-token-sales-world-liberty-financial" rel="noopener noreferrer nofollow">purchased</a> would “not be an eligible investment via Nova’s liquid strategy.”
“Thus, we entered into the side letter posted in the article and committed Nova to additional commercial arrangements, including an agreement to provide liquidity on the network, which was only possible upon launch,” Smokey added.
Related: <a href="https://cointelegraph.com/news/sec-no-action-letter-fuse-depin-project" rel="noopener noreferrer nofollow">SEC issues ‘rare’ no-action letter for Solana DePIN project token FUSE</a>&nbsp;
They said the letter wasn’t made “to close the deal with a party who otherwise would not have been interested, or to prevent against post-launch losses,” adding it also “generally has precedent.”
Smokey also stressed that Nova is one of the <a href="https://cointelegraph.com/news/token-value-capture-uni-ethereum-fusaka-upgrade-2026" rel="noopener noreferrer nofollow">largest tokenholders</a> of Berachain and is a liquidity provider, holding both locked BERA acquired in the blockchain’s Series B and additional BERA it purchased on the open market.
“They have increased their BERA exposure over time, despite running a liquid fund in a harsh alt environment,” they added.
Smokey and the Berachain Foundation were contacted for comment via X. Brevan Howard did not respond to a request for comment outside of regular business hours.
The BERA token is down 93% from its peak of $14.83, which it reached when it launched in February, and is currently trading at $1.05, up 3.2% on the day, <a href="https://www.coingecko.com/en/coins/berachain" rel="noopener noreferrer nofollow" target="_blank">according</a> to CoinGecko.
Trade Secrets: <a href="https://cointelegraph.com/magazine/bitcoin-big-move-ether-price-surge-dogecoin-xrp-solana-trade-secrets/" rel="noopener noreferrer nofollow">Bitcoin to see ‘one more big thrust’ to $150K, ETH pressure builds</a>

Berachain disputes ‘framing’ of a $25M refund deal to Brevan Howard

Table of Contents

Cointelegraph

Other articles published on Nov 25, 2025

Join our free newsletter for daily crypto updates!