Woofun AI reports that a severe internal conflict has surfaced within the crypto venture capital sector, centered on allegations of systemic abuse and professional retaliation by Hack VC. The dispute was brought to public attention when Hsin-Ju, a former partner and platform manager at the firm, published an extensive open letter on August 23rd. In this document, she detailed a pattern of intense workload demands, resulting health crises, and coercive pressure to resign, all of which culminated in protracted legal battles. Central to her accusations is the claim that company management threatened her with 'industry blacklisting' to enforce compliance. She further disclosed that the cumulative stress led to an attempted suicide and that she ultimately rejected a financial settlement because it contained a 'keep quiet' clause, choosing instead to forfeit compensation rather than agree to such conditions.

Hsin-Ju brings approximately 9 years of experience to the crypto sector, establishing a professional background that underscores the gravity of her claims. Her public resume indicates that she served as the head of growth for Stellar in 2017, working alongside Jed McCaleb, the founder of Mt.Gox. In 2018, she joined the early SOL team as Head of Growth, a role that preceded her founding of Dystopia Labs. During this period, she organized over 17 Ethereum developer conferences and was responsible for the growth strategy of Fhenix. Her relationship with Hack VC began in 2021 when she started working part-time for the firm. She transitioned to a full-time role in March 2025, assuming the title of partner and platform manager, before departing the company in September of the same year.

The core of the allegations involves an unsustainable work environment that directly impacted Hsin-Ju's physical and mental health during 2025. She reported being diagnosed with Graves' disease, hyperthyroidism, and severe insomnia, conditions that were exacerbated by the firm's operational demands. Despite these medical issues, she was expected to maintain a pace of 13 to 14 hours a day, six days a week, with sleep windows sometimes restricted to 0 to 4 hours per day. This intensity peaked during Korea Blockchain Week, where she was tasked with organizing the Hack Summit and related events. The combination of chronic sleep deprivation and high-stakes event management created a volatile environment that she described as medically dangerous.

Hsin-Ju accused Alex Pack, co-founder and managing partner of Hack VC, and partner Daniel Bulaevsky of leveraging their industry influence to coerce her into staying. She claimed that when she submitted resignation requests multiple times, they were denied, and she was warned that leaving before the summit concluded would result in her being placed on an 'industry blacklist.' Alex Pack allegedly emphasized his long-term personal relationships with numerous venture capital managers, asserting his ability to harm her future career prospects through these connections. The nearly month-long period of stress and threat of professional ostracization ultimately led to an attempted suicide. Hsin-Ju stated that her initial intent was to leave peacefully without litigation, provided the company refrained from retaliation or public defamation. Her annual salary prior to departure was $300,000.

The conflict escalated significantly after her departure, particularly regarding post-employment benefits. Hsin-Ju reported that her COBRA continuation health insurance encountered unresolved problems, leading to a dispute that lasted nearly four months. The issue remained stagnant until the law firm Sanford Heisler intervened and resolved the matter. She argued that the company's failure to properly handle her health insurance, given her pre-existing serious health conditions, intensified the hostility between the parties. This administrative neglect served as a catalyst for further legal action, transforming what could have been a standard exit into a prolonged legal confrontation.

During the subsequent year-long legal proceedings, Hsin-Ju accused the company's lawyers, partners, and employees of making false statements to protect the firm's interests. She named specific individuals involved in these alleged deceptions, including @0xRodney, @IsTheBaron, @roshunpatel, and @Alex__Botte. She suggested that standard venture capital industry practices, such as carry and clawback arrangements, might incentivize individuals to avoid telling the truth in legal contexts. These financial structures, which tie compensation to long-term fund performance, were cited as potential drivers for the alleged dishonesty, creating a conflict of interest that hindered transparent resolution.

Woofun AI data shows that the breakdown in negotiations was finalized when Hsin-Ju rejected a settlement offer that included a 'keep quiet' clause. She subsequently fired her attorney and decided to expose the incident publicly, stating she was not seeking financial compensation but rather aiming to reveal the truth. She acknowledged the significant risks of confronting a VC firm managing assets worth $600 million to $700 million on her own, recognizing the potential for severe legal and professional repercussions. Her decision to prioritize transparency over financial gain highlights the depth of her grievance and her willingness to endure personal risk to challenge the firm's practices.

Hack VC responded to the allegations by stating it had noticed the situation and expressed concern for Hsin-Ju's health.

However, the firm emphasized that there were 'significant differences' between the two sides regarding the facts of the case. It declined to disclose further details, citing the need to respect privacy, and did not address the specific accusations regarding work pressure, health insurance mishandling, or threats of industry blacklisting. This vague response left many of the core allegations unaddressed, maintaining a veil of ambiguity around the firm's internal operations and management style.

The dispute occurs against a backdrop of broader instability at Hack VC. At least three other senior partner-level executives left the firm over the past year, including Alex Botte, Roshun Patel, and Sean Brown. This exodus of key leadership coincides with a decline in investment activity, as Hack VC's investment volume has dropped to its lowest level since its establishment. Only four projects have been publicly announced this year, signaling a potential strategic retreat or operational paralysis. The combination of executive departures and reduced investment output suggests deeper structural issues within the firm that extend beyond this single dispute.

Currently, the matter remains unresolved, with Hsin-Ju's claims lacking substantial public evidence or support from other well-known industry figures. The validity of her accusations hinges on the documentation she intends to release. Hsin-Ju has announced that she will release relevant evidence on August 26th or sooner, a move that will serve as a critical juncture in determining whether her core allegations can be verified. This upcoming disclosure will likely define the narrative of the dispute and potentially impact the firm's reputation and future operations.