Troubled cryptocurrency fintech Yuga Labs is about to face more lawsuits in connection with its non-fungible token (NFT) collection, Bored Ape Yacht Club (BAYC) and other projects.
Rosen Law Firm, a global law firm focused on protecting the rights of investors, announced on January 30 that it is planning to file a class action lawsuit against Yuga Labs.
Rosen invited buyers of Yuga securities – including BAYC NFTs and the native token ApeCoin (APE) – to join the class action lawsuit against Yuga before the lead plaintiff’s February 7 deadline.
The law firm stressed that Yuga stock investors who purchased BAYC and APE between April 23, 2021 and December 8, 2022 may be entitled to compensation without payment of additional costs through a settlement agreement. contingency fees.
The new case targets a large number of defendants, including Yuga Labs co-founder Wylie Aronow, who resigned on January 28 citing ill health. The case will also go against co-founder Greg Solano, billionaire BAYC founder Kerem Atalay, Yuga Labs CEO Nicole Muniz, as well as some world-famous celebrities including Madonna and companies like Adidas and MoonPay.
The new lawsuit is yet another attempt to hold Yuga Labs responsible for the massive losses of NFT investors who bought BAYC and APE in recent years.. In October 2022, the median transaction value of BAYC NFTs had plunged below $85,000 after reaching $312,000 in April 2022. The floor price of BAYC NFTs also plunged from around 144 Ether ( ETH), or $226,000, to 64 ETH ($100,000) at the time of writing.
Yuga Labs also faced a similar lawsuit from US plaintiffs Adonis Real and Adam Titcher in December 2022. Similar to the Rosen class action lawsuit, the lawsuit listed more than 40 individuals and companies as defendants, including Madonna, Justin Bieber, Paris Hilton, Snoop Dogg, Jimmy Fallon, Post Malone and others.
Previously, The law firm Scott+Scott filed a class action lawsuit against Yuga Labs in June 2022, arguing that the company “improperly induced” the community to purchase BAYC and ApeCoin NFTs.
Yuga Labs, a Miami-based company, has also been embroiled in some disputes related to trademark and copyright issues.. In June, Yuga Labs filed a lawsuit in a Los Angeles court against artist Ryder Ripps, alleging that he had used Yuga Labs’ trademarks to promote his own NFT collection. A subsequent court filing suggested that Yuga Labs lacked copyright registration for BAYC.
“Yuga Labs has no registered copyright and therefore there is no imminent threat of a copyright infringement lawsuit,” the letter stated.
Despite the many problems it faces, Yuga Labs has taken steps to expand its NFT ecosystem.. On January 18, Yuga Labs launched its new game Dookey Dash, a skill-based minting experience that allows BAYC investors to claim free tokens to compete for the top score and earn new perks.
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