Investors File Class Action Against BitConnect Following Abrupt Closure

Investors File Class Action Against BitConnect Following Abrupt Closure

Just a week after the abrupt closure of BitConnect’s lending and exchange platform, investors are seeking legal action to claim back their funds, according to public document. The class action case (see below), filed with the Southern District Court of Florida on Jan. 24, alleges that BitConnect issued cryptocurrency tokens that were effectively unregistered securities and gathered additional funds as a "wide-ranging Ponzi scheme." In light of the recent closure of BitConnect after receiving two cease-and-desist orders by U.S. state regulators, the plaintiffs are seeking to claim back the investments they put into the company. The document states that […]

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