Jay Yao, co-founder of the Paraspace NFT protocol, has resigned from his position following a dispute over the whereabouts of the protocol's funds. The disagreement between Yao and CEO Yubo Ruan escalated after Ruan accused Yao and another consultant of illegally accessing the protocol's multisig accounts and social media platforms.

The saga began with a price slippage attack on the NFT protocol in March, which was intercepted by BlockSec. The Paraspace team claimed that only 50% of the funds were added back to the protocol's treasury, accusing Ruan of mismanagement.