Bitquery co-founder Dionysios “Dean” Karakitsos faces claims of taking over $5 million from the crypto company. Bitquery filed the lawsuit in Manhattan Supreme Court in June 2026, alleging Karakitsos moved company funds to accounts linked to himself and associates. The former CEO allegedly controlled the company accounts before leaving in October 2025.
The lawsuit also claims Karakitsos deleted 194 expense and bill records from QuickBooks before his resignation. Bitquery says the records showed transfers linked to his accounts, while other entries allegedly changed to hide the transactions. The company now seeks at least $5 million, additional damages, and access to its banking credentials.
The allegations reportedly began around 2022 after investors put about $8 million into Bitquery. The company provides data on cryptocurrency prices, transactions, and fund movements for crypto users and businesses. Karakitsos allegedly told investors that Bitquery held between $5 million and $6 million in its bank accounts.
Bitquery claims its actual revenue stood near $2 million during 2024 and 2025. Operating costs reportedly remained close to revenue during those years, according to the lawsuit. Karakitsos allegedly used his account access to send money to several entities linked to him and associates.
The company also says Karakitsos still holds Bitquery banking credentials and has not returned them. Bitquery has since appointed co-founder Aleksey Studnev as its new CEO. The company wants the court to order a full accounting of the disputed money and related assets.
Karakitsos has denied the allegations and plans to fight the case through court. “I strongly disagree with the allegations and intend to respond through the legal process,” he said. The case remains a lawsuit, so the allegations have not established criminal guilt.
The dispute also raises concerns about financial controls at startups where one executive holds broad access to company money and records.
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