Investigating Decentral Games: BAG, $DG, and ICE Tokens — Open Investor Investigation

Posted by Traverse Legal, July, 2025

Important Notice & Disclaimer — The information set out below is drawn from publicly available documents, on‑chain data, press coverage, and firsthand investor reports that are still being vetted. Traverse Legal has not reached any conclusions. All references to Decentral Games, its founders, or its token ecosystems should be read as allegations under investigation, not proven facts.

I. Purpose of This Inquiry

Traverse Legal is examining the marketing and execution of three interconnected tokens issued by Decentral Games:

• BAG was sold to thousands of retail investors between 2020 and 2021 on the premise that each token represented fractional ownership of a fully licensed metaverse casino. Early indications suggest that no such license was in force and that “ownership” rights were, at best, ambiguous.
• $DG was positioned as a governance token. Purchasers were told that $DG holders would steer the project’s treasury and vote on major decisions through a decentralized autonomous organization (DAO). Blockchain snapshots, however, appear to show that the founders retained effective voting control.
• ICE, introduced in March 2022, replaced prior reward mechanics with a play‑to‑earn model. The sudden pivot raises the question of whether liquidity pressures—unknown to token holders at the time—drove the change.

Our goal is to determine whether these representations violated U.S. securities laws, consumer‑protection statutes, or common‑law antifraud provisions, and to identify avenues for civil recovery on behalf of affected investors.

II. Principal Individuals

The project is led by Miles Anthony, the public face and chief executive; Michael Ryan de Taboada (“Ryan”), responsible for operations and investor relations; Scott de Taboada, believed to oversee treasury matters; and Steve Becerra, who managed early technical development. All four are believed to reside in California, creating a clear jurisdictional link for U.S. litigation.

III. Chronology of Key Events and Alleged Misstatements

1. BAG Token Sale (2020 – 2021)

Marketing videos and white‑paper excerpts suggested that buying BAG conferred equity‑like ownership in a casino operating lawfully within the Decentraland metaverse. Investors were told the operation was “properly licensed” and “fully legal.” Preliminary regulatory searches, however, have so far failed to locate any contemporaneous gaming license held by Decentral Games or its principals.

2. $DG Governance Promises

Throughout 2021, founders emphasized that $DG holders would control the DAO and direct expenditures from a multimillion‑dollar treasury. On‑chain voting history indicates that addresses associated with the founders commanded a super‑majority of the vote share, effectively nullifying community governance. A 2021 legal memorandum, reportedly circulated internally but not shared with the public, concluded that $DG likely satisfied the Howey test, raising unregistered‑securities concerns.

3. Unannounced Pivot to ICE (March 2022)

In March 2022, Decentral Games announced that gameplay rewards would migrate to a newly created ICE token, fundamentally altering the economics of BAG and $DG. No prior notice or vote appears to have been offered to token holders. Evidence now emerging suggests that looming liquidity and more serious licensing issues—not disclosed at the time—may have motivated this pivot.

4. Binance Listing Teasers and “Not a Security” Assurances

From late‑2021 through 2022, the founders repeatedly referenced an imminent Binance listing for BAG and $DG and dismissed concerns that either token might be deemed a security. The listing never materialized, and no exempt‑offering paperwork has surfaced in SEC databases.

5. Malta Licensing Claims (October 2023)

Press releases in October 2023 asserted that ICE wagering was legal and occurred “under our Malta gaming license.” Later events raised questions about what the founders knew and when related to license requirements and other issues affecting the potential liability and legality of the operations.

IV. Legal Theories Under Evaluation

Traverse Legal is reviewing potential claims for fraudulent inducement, sale of unregistered securities, breach of fiduciary duty arising from DAO representations, and violations of state unfair‑and‑deceptive‑trade statutes. We are also analyzing whether the revenue model surrounding ICE and in‑game NFT sales shared hallmarks of a Ponzi‑like structure dependent on continual inflows from new participants.

V. Investor Impact and Request for Information

Individuals across multiple jurisdictions have reported seven‑figure combined losses tied to precipitous declines in BAG, $DG, and ICE. If you purchased any of these tokens, lent assets to the project, or possess contemporaneous communications with the founders, we encourage you to contact Traverse Legal. Documentation such as wallet screenshots, private chat logs, marketing emails, or legal opinions will materially advance the investigation.

VI. Jurisdiction and Enforceability of Foreign‑Law Clauses

Although Decentral Games’ white paper references a foreign jurisdiction, many buyers never affirmatively agreed to those terms. California courts generally refuse to enforce such provisions where doing so would undermine domestic antifraud policy. Given that the founders are believed to reside in California, state and federal venues remain viable forums for relief.

VII. How to Reach Us

Please contact us using the contact form or call the nunber on our website. All communications are treated as confidential to the fullest extent permitted by law. Potential whistle‑blowers—former employees, contractors, advisers, or exchange partners—are likewise invited to share relevant information.

VIII. Next Steps

Traverse Legal is actively collecting evidence, interviewing witnesses, and preparing a comprehensive damages model for prospective civil actions. Periodic updates will be published as new, verifiable facts come to light.

Select Public Sources Cited

BAG Controversy – How Investors Lost Millions in a Metaverse Casino – https://bagtokenscam.com/
SEC Press Release 2024‑35, “SEC Charges 17 Individuals in $300 Million Crypto Asset Ponzi Scheme” – https://www.sec.gov/newsroom/press-releases/2024-35
Decentral Games Completes ‘ICE Merge’ To Drop ICE Token Emissions by 55 % – https://egamers.io/decentral-games-completes-ice-merge-to-drop-ice-token-emissions-by-55/
Crypto Regulation: Who Will Protect Consumers Against Fraud? – https://www.skadden.com/insights/publications/2025/02/crypto-regulation-who-will-protect-consumers

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