There’s a power struggle brewing at Ondo Finance, and it’s not a quiet one. Kathleen Allman, mother of the late founder, has taken the company to court. She wants current CEO Ian De Bode out. And she wants control back.
Founder’s Death Sparks Leadership Dispute
Here’s what happened. Kathleen Allman filed a lawsuit in the Delaware Court of Chancery, claiming De Bode grabbed control of the company right after her son, Nathan Allman, passed away on May 25. Same day he died, De Bode reportedly named himself CEO. That’s according to the lawsuit anyway. Ondo confirmed the appointment shortly after in an official statement, saying De Bode, who’d been President for a long time, would step into the CEO role.
But here’s the twist. At the time Nathan Allman died, he was the majority shareholder. Controlling stake, the whole thing. That voting power didn’t just disappear, it went straight to his estate. And Kathleen Allman, as the estate’s representative, now holds those shares. Which means, legally speaking, she’s the one with the power to reshape the board. Not De Bode.
Board Vote Escalates the Standoff
So on July 24, she called a formal board meeting. The board voted. De Bode was removed, Kathleen was named interim CEO. Simple as that, on paper anyway. De Bode’s response? He called the whole lawsuit “meritless.” Said he found the situation regretful too. Whether that holds up legally is another question entirely.
Investors React as Token Price Drops
Ondo’s no small operation either. Founded back in 2021, backed by names like Coinbase, Wintermute, Tiger Global, and Peter Thiel’s Founders Fund. Big names, big money. So naturally, when a lawsuit like this drops, people notice. And they reacted fast.
Over 10 million ONDO tokens hit exchanges almost immediately, which honestly looks a lot like insiders knew something was coming before the rest of the market did. Worse, some of those transfers traced back directly to Ondo Finance team wallets, not random holders. That kind of selling pressure doesn’t go unnoticed. The token’s dropped about 9% in just the past 48 hours.
If this legal fight drags on, and sentiment keeps souring, the price could slide further. Next support sits around $0.30. Below that, you’re looking at the early 2026 range of $0.24 to $0.30, territory ONDO hasn’t traded at in months. For now though, all eyes are on Delaware. Whatever the court decides there is probably going to settle who actually runs Ondo Finance, and likely where the token goes next too.