Empery Digital shareholder demands CEO and board resignations

Tice P. Brown, who owns 9% of Empery Digital Inc. (NASDAQ: EMPD), has called for the immediate resignation of CEO Ryan Lane and the entire board of directors, according to a letter sent to the company's board.

Brown also demanded the immediate sale of all Bitcoin holdings with proceeds returned to shareholders. The shareholder cited what he described as "outrageous entrenchment of management by a poison pill" implemented by the company.

The letter details a January 28th meeting at Empery's office where Brown claims Lane "left the meeting" after an "incoherent rant" and later returned with Rockefeller Center security to remove Brown from the premises. Brown alleges this was done to create content for social media.

Brown criticized the board for allowing employees to trade Bitcoin derivatives and maintaining what he called a $105 million margin loan that should be paid by selling Bitcoin. He also pointed to high operational costs, including payroll for employees of Lane's hedge fund and office rent at Rockefeller Center.

The shareholder accused Lane of using the company's Twitter account to post "conspiracy theories about JP Morgan Chase suppressing the price of Bitcoin" and "AI memes that purport to show Benjamin Franklin, Bill Gates, and John McAfee endorsing Bitcoin."

Brown stated management has "no concrete future plan" beyond a theory of selling to competitors at 0.9 times net asset value within six to nine months, while claiming the company could achieve 100% of net asset value through immediate liquidation.

The information comes from a letter Brown sent to Empery Digital's board of directors on February 3rd.

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