Lawsuit targets NBA for promoting Voyager Digital
Key Takeaways
- The NBA is being sued for allegedly negligent in approving a marketing deal with Voyager Digital, resulting in investor losses exceeding $4.2 billion.
- The plaintiffs claim the NBA should be liable for financial damages to investors as a result of its widespread promotion of Voyager.
- The NBA and Voyager’s legal firm have not yet released a public statement regarding the claims.
class action lawsuit The lawsuit targets the National Basketball Association (NBA). (NBA) Promoting a bankrupt cryptocurrency brokerage company voyager digitalInvestors are claiming that their losses exceeded: $4.2 billion.
The lawsuit begins as follows. Previous legal disputes In 2022, he was indicted on charges related to former Dallas Mavericks owner Mark Cuban. He misrepresents Voyager and uses his influence to lure investors.
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The Cuban was later sued. Voyager goes bankrupt This is because the loan to the cryptocurrency hedge fund Three Arrows Capital (3AC) failed.
The lawsuit, filed Feb. 6 in U.S. District Court in Miami, alleges: The NBA knowingly took a risk by partnering with a cryptocurrency exchange.Voyager Digital, FTX, or Coinbase, receive This generates “billions of dollars in promotional rewards.” Failing to fulfill my responsibility as a gatekeeper When accepting such transaction.
The class group calls this behavior NBA. “Extremely careless.” And it claims:
The NBA’s extensive promotion of Voyager’s unregistered securities makes Voyager liable for any losses resulting therefrom.
Plaintiff also states: Voyager Law FirmMcCarter & English, estimated Providing misleading ‘legal opinions’ Communicating the status of Voyager tokens contributes to downplaying the concerns of investors and partners.
As the legal process progresses, both The NBA and McCarter & English have not yet released a public statement. The charges are being resolved.
The legal battle raises concerns about financial responsibility and investor protection. As the lawsuit progresses, the NBA’s role and response will be scrutinized.
This isn’t the first time Voyager Digital has found itself in hot water. In 2023, cryptocurrency lenders were publicly criticized by the U.S. Commodity Futures Trading Commission (CFTC).
With a master’s degree in Economics, Politics, and Culture in East Asia, Aaron wrote a scientific thesis comparing the differences between Western capitalism in the United States and forms of collective capitalism in Japan from 1945 to 2020.
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