Shopin's marquee corporate partnerships—prominently featuring Bed, Bath and Beyond and designer house Ermenegildo Zegna—appear to be fabrications rather than functioning business relationships. This r
Shopin's marquee corporate partnerships—prominently featuring Bed, Bath and Beyond and designer house Ermenegildo Zegna—appear to be fabrications rather than functioning business relationships. This revelation emerges following the arrest of company founder Eran Eyal, who faces fraud allegations stemming from his involvement with SpringLeap, a previous venture.
Direct inquiries to major retailer Bed, Bath and Beyond uncovered documentation gaps. A company spokesperson confirmed: "We have reviewed our records and have not located any records indicating that we ran a pilot program or did any business with Shopin." When pressed about potential connections to Passo, Shopin's earlier iteration, the response remained consistent: "We have reviewed our records and have not located any records indicating that we ran a pilot program or did any business with Passo."
Upon questioning, Shopin's confidence evaporated into qualified hedging. The company suggested these initiatives belonged to Passo, an organization that preceded Shopin. According to their statement: "These pilots relate to Passo, a pre-cursor to Shopin. We do know that Steven Gray, CEO of Passo, had successfully secured a number of pilots during the lifespan of Passo, and purportedly these pilots were among them based on representations made by Mr. Gray as well as other indicia. Unfortunately, however, we are not able to definitively confirm or deny the veracity of the existence of these pilots, as indications several months ago that seemed to support their existence are being critically re-examined."
Regarding Ermenegildo Zegna, the designer provided no response, rendering independent verification impossible though involvement now appears highly improbable.
The significance extends beyond reputational damage. These pilot programs functioned as proof that Shopin's recommendation engine had already demonstrated market viability with established retailers—credibility central to the company's fundamental proposition. Without substantiated partnerships, the entire investment thesis collapses into speculation.
The explanations strain credibility. During a public presentation, Eyal stated definitively that Bed, Bath and Beyond produced 504,000 registered users and generated $13 million in transaction volume through Shopin's infrastructure. For leadership at both organizations to simultaneously misunderstand whether such partnerships existed defies reasonable explanation.
The precedent proves troubling. Eyal and Steven Gray, who alternated holding the Passo CEO title, both became defendants in litigation. Gray received an order to remit $350,000 following Eyal's mysterious removal from the case. Swiss investment fund Abreziel Holdings initiated the lawsuit, accusing Passo of misrepresenting commercial relationships. Court documents filed on Leagle.com reveal Abreziel's contention that "Passo had deliberately lied in claiming that it had secured an 18-month trial agreement with Macy's, and that Abreziel had relied on that misrepresentation in deciding to invest."
Management's handling of Eyal's arrest creates further opacity. Shopin appointed Jennifer Haggerty as co-CEO, positioning her alongside Eyal despite his custody. Officials disclosed little regarding his location, offering only that his release occurred weeks prior. They dismissed the fraud charges as unfounded.
A significant fact warrants scrutiny: 175 ETH departed the company's cryptocurrency reserves following his detention. Shopin attributed this outflow to operational expenses and payroll rather than legal fees. Eyal has declined direct communication with media inquiries, instead channeling all correspondence through an external public relations firm.
The community channels tell a different narrative. Cryptocurrency holders flooded the official Telegram group with inquiries and theories. Company representatives offered scant responses, instead repeating assurances regarding internal restructuring and forthcoming updates. Doubt intensified around whether the previously reported Syndicate hack had genuinely occurred.
Alleged communications attributed to Eyal surfaced within the community, ostensibly aimed at reassuring investors. These messages referenced the Passo-Bed Bath and Beyond relationship and characterized the ETH movement as compensation for development and staff costs. Independent verification of these communications remains impossible, though their substance aligns with previously undisclosed company narratives.
The anticipated token conversion mechanism remains suspended indefinitely without any projected timeline offered to affected parties.
As one organization contends with litigation and another battles fraud allegations, damaged leadership credibility, and nonexistent business relationships, the outlook deteriorates substantially. For token holders and investors, options narrow to filing complaints with regulators and seeking formal restitution through legal channels.
