rewrite this title and make it good for SEO CHAIN/SAW Faces Heat After $25M NFT Collapse Sparks Legal Threats – Blockonomi

TLDR:

CHAIN/SAW accused of hiding a hack for 40 days while users traded on a compromised platform.
Jagged claims NFT investors lost millions while CHAIN/SAW earned $25M in marketplace fees.
Legal experts warn platform’s alleged concealment could lead to federal investigations.
Community pushes for accountability, calling this a turning point for NFT marketplace regulation.

NFT collectors are demanding answers after a storm of accusations hit CHAIN/SAW, the marketplace once trusted by thousands. 

Jagged, a prominent NFT creator, says the platform failed its users. He claims the marketplace ignored warnings, concealed a hack, and left investors with worthless assets. His statements have turned a brewing frustration into a full-scale push for legal action. 

Now, a community already burned by collapsing projects wants accountability.

CHAIN/SAW Accused of Abandoning Users

Jagged said most of Matt Furie’s NFT collections now trade at near-zero value. He accused CHAIN/SAW of walking away without helping affected users or even handing control to the community. According to him, this wasn’t just poor management but a clear disregard for those who trusted the platform.

The creator stressed that thousands of new collectors suffered losses. Many entered the market for the first time, only to watch their investments vanish while the marketplace stayed silent. His frustration reflects a growing belief that NFT platforms should take more responsibility.

Jagged also revealed that CHAIN/SAW made more than $25 million over four years. Despite those earnings, he says the company failed basic security checks, hired the wrong people, and stayed quiet during a damaging hack. He claimed the concealment lasted nearly 40 days while users kept trading on a compromised platform.

3/3 In 4 years CHAIN/SAW took in over $25 million, then started ignoring red flags, and kept quiet while the community took the hit. They hired the wrong people, skipped basic checks, ignored security, and let a hack happen—then tried to hide it. That’s not just unethical; it’s…

— jagged (@jaggedsoft) August 4, 2025

Legal experts argue that such allegations could lead to serious consequences if proven. Jagged believes this is more than negligence, describing it as potential criminal concealment and deceptive conduct that hurt the entire NFT community.

Duty of Care in Question

In his thread, Jagged raised the issue of “duty of care.” He explained that marketplaces should provide secure platforms, disclose known risks, and prevent bad actors from selling. He added that failing to do so could expose platforms to legal liability, especially if users’ losses were preventable.

He also pointed out the lack of clear risk disclaimers. Without those, he argues, CHAIN/SAW might face an even tougher fight in court.

Jagged stated he is ready to involve federal authorities if necessary. He said CHAIN/SAW’s actions, or lack of them, left users no choice but to seek legal clarity. He also warned that if courts find the marketplace misled users, its terms of service might not protect it.

For now, the community is watching closely. Whether through lawsuits or regulation, many believe this case could redefine how NFT marketplaces are held accountable.