Citadel Securities accuses crypto startup of misappropriating trade secrets

Citadel Securities filed suit against Portofino Technologies. One of the world’s largest market makers alleges that the firm’s founders, acting through its former employees, misappropriated trade secrets, The Block.

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According to the filing, Leonard Lancia and Alex Kazimo reportedly gained access to the company’s confidential information nearly six months before they began seeking funding and launching their business.

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“Portofino Technologies intended to use our know-how to replicate Citadel’s business,” the suit states.

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The market maker seeks damages.

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Portofino Technologies described the plaintiff’s actions as a classic example of “corporate harassment.”

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“The suit is the latest step in Citadel’s campaign against our legitimate business. This is undignified and anti-competitive […]. We strongly deny the allegations made against us,” said its representative.

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In September 2022 Portofino Technologies raised $50 million from Valar Ventures, Global Founders Capital, Coatue and other investors.

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The company says it has developed high-frequency trading technology for digital assets. Trading volume amounted to billions of dollars on the CEX, DEX and OTC.

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Earlier in September 2022, Citadel Securities, Charles Schwab and Fidelity Digital Assets announced the launch of the digital assets exchange EDX Markets.