Overview of the allegations:

It is alleged that NAGA Coin was designed as a decentralized cryptocurrency that would be used for trading and investing in financial markets, virtual goods, and other cryptocurrencies, as well as being the primary payment form for all fees and transactions in the “NAGA Ecosystem”.

However, reports indicate that in just over a year, the value of the NAGA token has diminished by almost 99%, making it one of the worst-performing tokens (and subsequently ICOs) in recent years. NAGA AG (the creators of the ‘ecosystem’) have released only two viable products – the Trader and Wallet – and it is suspected that they seem set on halting any further development on the latter in favour of the former, due to a recent announcement that the company is seeking to restructure their organisation.

It is alleged that this essentially throws their promises into disarray, as the lack of development of a fully functioning ecosystem (as promised) would essentially render the sole utility of this token irrelevant.