Benjamin Pasternak, founder of the SocialFi and token launch platform Believe, has been arrested in New York and charged with strangulation in the second degree and assault, according to public records from the New York Criminal Court. The charges relate to an alleged incident dated March 31. Pasternak has pleaded not guilty and is scheduled to return to court on June 11.
The arrest introduces a criminal case alongside an already expanding legal and reputational crisis tied to Believe, a Solana-based platform that allows users to create and trade tokens linked to influencers and creators. The criminal matter, based on available court records, appears separate from the ongoing civil litigation tied to the platform’s token activity.
Public records from New York State’s unified court system confirm that Pasternak, 26, faces one count of strangulation and two counts of assault in the third degree with intent to cause physical injury. The Australian Financial Review also reported the arrest, citing public relations executive Dini von Mueffling, who identified herself as a friend of Pasternak.
Von Mueffling issued a statement denying the allegations on his behalf, writing:
“I am writing this statement on his behalf. Ben unilaterally denies the accusation Evelyn Ha has made against him.”
Civil lawsuit targets token practices
The criminal case unfolds against the backdrop of a class-action lawsuit filed on March 23 in the US District Court for the Southern District of New York. The complaint names Pasternak, B24, Inc., and the Believe Foundation as defendants. Plaintiffs Joshua Lee and Pierre Montmeas brought the case on behalf of holders of the $PASTERNAK, $LAUNCHCOIN, and $BELIEVE tokens.
The lawsuit alleges deceptive and misleading conduct that resulted in substantial investor losses. It claims Pasternak launched his personal token in January 2025 on Clout, a platform later rebranded as Believe, while publicly stating “0 ownership” in the asset. The complaint also references a buyback plan promoted by Pasternak that aimed to support token prices using platform revenue, while encouraging holders to maintain their positions.
At the center of the dispute lies a forced token migration announced on October 15, 2025. According to the filing, the transition from $LAUNCHCOIN to $BELIEVE increased total supply from 1 billion to 1,333,333,284 tokens. The complaint states that approximately 333 million new tokens were created and allocated to insiders, diluting existing holders by about 33.3%.
The filing further alleges that holders who did not complete the migration lost their tokens entirely, as unmigrated assets were permanently burned. It also states that around 40 million tokens allocated to the foundation were immediately unlocked.
Allegations of repeated token cycles
The complaint presents a broader pattern of conduct tied to multiple token launches. In one of its strongest claims, the filing states:
“Pasternak ran the same play three times, under three different token names: generate excitement, bring consumers in, collect fees, and let the token collapse.”
The lawsuit alleges that Pasternak and associated entities profited from transaction fees across each cycle, including during periods of steep price declines that affected retail investors.
Data from CoinGecko shows that Believe’s native token has dropped 99.7% from its peak in May 2025. The token currently trades at $0.0007854 and has fallen 15% in the past 24 hours, reflecting continued volatility and weakened market confidence.
Platform mechanics and rapid rise
Believe operates on the Solana blockchain and gained attention for simplifying token creation. Users can launch tokens by replying to posts from the platform’s official account on X, removing many of the technical barriers typically associated with crypto asset deployment.
The platform positioned itself at the intersection of social media and decentralized finance. It allowed creators and influencers to monetize their audiences through token issuance and trading activity. This model drew significant interest during the recent wave of meme coin speculation and SocialFi experimentation.
However, the same mechanisms that enabled rapid growth also amplified risks. The combination of simplified token creation and viral promotion cycles exposed retail participants to sharp price swings and potential liquidity collapses.
Background and prior ventures
Pasternak built his reputation as a serial entrepreneur before entering the crypto space. He previously founded Simulate, a plant-based food company that gained prominence during the alternative protein boom. In 2021, he appeared on a Forbes 30 under 30 list. Simulate reached a reported valuation of $250 million before its sale in 2024 for an undisclosed amount.
Earlier ventures included Flogg, a marketplace for second-hand goods, and Monkey, a social platform designed to connect users through short video chats. In early 2025, he launched Clout, which he described as combining “Wall Street and Hollywood for the web3 era.” That platform later evolved into Believe.
Uncertainty around legal overlap
It remains unclear whether the criminal charges have any direct connection to the civil allegations surrounding Believe’s token operations.
The dual-track legal pressure creates uncertainty for users and investors tied to the platform. The outcome of both cases could shape how similar SocialFi models are evaluated in the future, particularly those that blend influencer-driven engagement with financial instruments.
Alex Shepel
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