Ondo Finance Faces Leadership Conflict Following Founder’s Death

The mother of Nathan Allman, the late founder of Ondo Finance, has filed a lawsuit in Delaware seeking control over the RWA project, as reported by The Block.

Incident Overview

Allman passed away unexpectedly in late May at the age of 32. Following his death, Ondo announced that Ian De Bode, then the company’s president, would assume the role of CEO. The cause of Allman’s death has not been disclosed, and the court documents do not provide details about his voting shares in the company.

It is with profound sadness that we announce the unexpected passing of Nathan Allman, Ondo's founder. Our hearts are with his family and loved ones.

Nate’s brilliance, humility, and drive shaped every part of what Ondo is today. His belief in the power of technology to create a…

— Ondo Finance (@Ondo) May 25, 2026

According to Caitlin Allman, at the time of his death, her son held the positions of CEO, sole director, and majority shareholder. Although the company’s bylaws allowed for two board members, one position remained vacant.

"When Nate died, there were no directors left," the statement reads.

The founder's passing left the management structure in limbo. No one was able to appoint a new CEO or convene a meeting to establish a new board, and the voting shares became part of his estate, leaving no one authorized to act on them. This stalemate lasted a month until a Hawaii court appointed Caitlin Allman as her son’s estate administrator on June 26, granting her voting rights.

Caitlin Allman claims that during this interim period, De Bode took advantage of the situation. He initially cited the bylaws to declare himself the new CEO, subsequently appointing himself as the sole director through a shareholder agreement and began taking unilateral actions on behalf of Ondo, such as hiring consultants, approving bonuses, and adding a new member to the board.

The lawsuit challenges the legitimacy of De Bode’s appointment. Caitlin Allman argues that the bylaws required the board to fill the CEO vacancy, which did not exist at the time. Therefore, De Bode’s appointment is invalid, and subsequent decisions he made are also without legal standing, according to court documents.

Among the various allegations is a claim of coercion. The plaintiff asserts that De Bode used company resources to pressure her into signing documents that would solidify his control over the firm.

Another aspect of the lawsuit concerns his refusal to provide a list of shareholders with their contact information.

Board Restructuring

After gaining voting rights from her son's estate shares, Caitlin Allman did not immediately remove De Bode, as indicated in the documents. Initially, she proposed a peaceful resolution: she joined the board, established a temporary operational framework to keep the business running, and confirmed De Bode’s role as president, albeit not as CEO.

De Bode and Ondo's external legal advisors did not accept this proposal. Following their refusal, Caitlin expanded the board from two to four members, adding Gordon Liao and Tania Towill. Liao declined the appointment for reasons unrelated to the dispute, while Towill, Nathan Allman's sister and a recruiter from Hawaii, accepted, granting Allman a crucial second vote.

On July 24, the two voted to remove De Bode from all positions, including the presidency. On the same day, Allman assumed the roles of board chair, CEO, secretary, and treasurer.

The core of the dispute revolves around dual leadership: Ondo Finance effectively has two centers of authority, each claiming legitimacy. In three documents submitted to the court, the plaintiff seeks a ruling on who rightfully controls the company and requests a temporary injunction against any extraordinary corporate actions until a verdict is reached.

Caitlin Allman is pushing for an expedited hearing. As long as the control issue remains unresolved, the legal validity of all company decisions—ranging from contracts and expenditure orders to the issuance of new shares—could be jeopardized.

De Bode's Response

De Bode has denied the allegations in conversations with reporters. He stated that the plaintiff's claims are unfounded and that key stakeholders, including prominent investors and the Ondo Foundation, support the company's position.

"Kathy Allman's decision to go to court is regrettable. This path clearly contradicts the interests of the company, its shareholders, the team, and the entire Ondo community," he said.

As of now, the court has not issued a ruling, and all submitted documents reflect solely the position of the heirs.

It is worth noting that in early August, analysts from CoinShares reported a rise in RWA amid a downturn in DeFi. From April to June 2026, the volume of tokenized real-world assets on lending platforms and decentralized exchanges reached $7.4 billion, compared to $2.3 billion the previous year.