From Coinbase to Milei and LIBRA: Crypto class-action suits pile up

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While crypto adoption is spreading across the globe, companies operating in the industry have increasingly become the target of class-action lawsuits.

According to a recent report from economic and financial consulting firm Cornerstone, the number of class-action lawsuits opened against crypto firms in the first half of 2025 has nearly matched last year’s total.

Investors are still holding crypto firms accountable despite the 180-degree turn in enforcement attitudes from US financial regulators such as the Securities and Exchange Commission under the administration of President Donald Trump.

Cornerstone’s findings just represent securities-related class-action suits. Crypto firms are also facing class actions related to consumer protection and fraud. Some of these firms have even touched high-level politicians like the president of Argentina.

Here are six major crypto cases that made headlines in the first half of 2025.

Bakkt accused of violating securities law

American cryptocurrency exchange Bakkt, which is headquartered in Georgia and New York, is facing a class-action lawsuit in which the plaintiffs claim the exchange made false or misleading statements and failed to disclose certain information.

Filed on April 2, lead plaintiff Guy Serge A. Franklin called for a jury trial for Bakkt, senior adviser and former CEO Gavin Michael, CEO and president Andrew Main and interim chief financial officer Karen Alexander.

The plaintiffs allege that Bakkt violated US securities laws and lacked transparency around the loss of Bank of America and Webull as clients.

The filing claimed there would be a “73% loss in top-line revenue,” as Webull made up 74% of Bakkt’s crypto services revenue from 2023 and 2024, and Bank of America made up 17% of its loyalty services revenue from January to September 2024.

Bakkt “misrepresented the stability and/or diversity of its crypto services revenue,” per the complaint.

Coinbase faces class action on multiple fronts

Major American crypto exchange Coinbase and some of its executives are facing several class actions in multiple states.

In February, Coinbase shareholder Wenduo Guo filed a complaint in a federal court in New Jersey, accusing the exchange of failing to disclose that customer assets can be considered part of Coinbase’s bankruptcy estate, which makes retail customers unsecured creditors.

The complaint noted the slew of exchange collapses before Coinbase’s public listing in 2021 that left investors high and dry. It claimed that, despite statements from Coinbase, the exchange is no different.

In May, more cases were filed, alleging that Coinbase had violated biometric privacy law in the state of Illinois. Plaintiffs Scott Bernstein, Gina Greeder and James Lonergan claimed in the May 13 lawsuit filed in a federal court that the exchange’s “wholesale collection” of faceprints for its Know Your Customer requirements violates the Biometric Information Privacy Act (BIPA).

“Coinbase does not publicly provide a retention schedule or guidelines for permanently destroying Plaintiffs’ biometric identifiers as specified by BIPA,” they stated.

On May 15, Coinbase announced that cybercriminals had bribed overseas support agents to leak customer data and help facilitate cyber engineering attacks on clients. Initial estimates put remediation and reimbursement expenses between $180 million and $400 million.

The breach resulted in at least six lawsuits filed against Coinbase just days after the incident. On May 22, Coinbase investor Brady Nessler claimed that the breach led to “significant losses and damages” for stockholders.

Strategy’s Bitcoin strategy is under legal scrutiny

Strategy, the software company-cum-Bitcoin investment vehicle headed by Bitcoin (BTC) maximalist Michael Saylor, was hit with a class-action lawsuit in mid-May.

According to an SEC filing, the class-action suit alleged that Strategy and its executives “made false and/or misleading statements with respect to and/or failed to disclose information with respect to the anticipated profitability of our bitcoin-focused investment strategy and treasury operations.”

The May 16 filing came days before Strategy acquired 7,390 BTC for $764.9 million at an average price of around $103,500.

LIBRA coin faces investor ire

In one of the more odd cases in crypto this year, LIBRA, the token project that received support from Argentine President Javier Milei, faces a class-action suit from disgruntled investors.

LIBRA, which was initially hawked as a blockchain project that would spur economic development in Argentina, was part of the memecoin frenzy that defined crypto in the early days of 2025.

The token’s value skyrocketed after its initial February release and a supportive tweet from Milei, which was subsequently deleted and then denied as the LIBRA price crashed to earth.

On March 17, Burwick Law filed a class action against Kelsier Ventures, KIP Protocol and Meteora for conducting the LIBRA token launch in a “deceptive, manipulative and fundamentally unfair” manner.

Hayden Davis, co-founder of Kelsier Ventures, has tried to dismiss the New York-based suit, claiming that the court lacks jurisdiction over the globally launched token.

Pump.fun memecoin frenzy faces racketeering claims

In July, Memecoin launchpad Pump.fun became the target of a class-action lawsuit alleging that it operated as a “front-facing slot machine cabinet” that got more than $5.5 billion from users through memecoin schemes.

“The structure mimics a rigged slot machine where the first few players win by dumping their tokens on later ones. There is no underlying project, product, or revenue — only a fast-moving cycle of buying, dumping, and collapse,” the filing claimed.

The complaint also includes Racketeer Influenced and Corrupt Organizations Act (RICO) claims, fraud, aiding and abetting, civil conspiracy and unjust enrichment.

The plaintiffs are seeking rescission of all Pump.fun transactions in addition to compensatory damages.

Nike faces “rug pull allegations”

Global sports attire giant Nike is facing allegations of executing a rug pull when it shut down its non-fungible token (NFT) platform RTFKT.

Major brands jumped on the trend, only for many to close shop and exit the industry entirely just a couple of years later. Nike was no exception.

A group of RTFKT users led by Jagdeep Cheema claimed in an April 25 filing that they suffered “significant damages” after Nike hyped its sneaker-themed NFTs, only to shut down the platform on which they were hosted.

The suit claims that Nike was offering unregistered securities in the form of NFTs and is seeking $5 million in damages, claiming Nike broke consumer protection laws and violated various state unfair trade and competition laws.

Legal action can take a while

There is a growing number of class-action suits against crypto firms and actors operating in the crypto industry. These cases can contain serious financial and reputational repercussions, but they can also take a very long time to conclude, if they ever do.

For example, in April 2020, Chase Williams filed a lawsuit against Binance alleging that the exchange sold unregistered tokens that lost much of their value. Binance tried and failed to dismiss the case, and once that motion was denied, it took its case to the US Supreme Court for review. Only in January did the Supreme Court deny the review and rule that the case could go ahead.

Other cases, like those against celebrities who endorsed FTX, have also taken years to reach a settlement or some form of conclusion.

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