#USA #New York #DeFi Technologies #Faruqi & Faruqi #Josh Wilson

Faruqi & Faruqi Initiates Investigation on Behalf of DeFi Technologies Investors

Faruqi & Faruqi, LLP, a notable national firm specializing in securities law, is currently examining claims against DeFi Technologies Inc. This impending scrutiny caters mainly to investors who may have incurred losses due to the company's recent business announcements.

The firm is focusing on claims reflecting allegations that DeFi Technologies misled its investors regarding its financial performance and business strategies through actionable misstatements or failures to adequately disclose crucial information. Sadler's revelations about the firm's struggles with its decentralized finance (DeFi) arbitrage operations are particularly alarming, as they directly correlate with the company's potential revenue generation, which has seen significant underperformance relative to expectations.

During the period from May 12, 2025, to November 14, 2025, shareholders are urged to evaluate their legal rights, with a deadline set for January 30, 2026, to consider taking on the role of lead plaintiff in the class-action litigation. The firm’s Senior Partner, James “Josh” Wilson, has encouraged affected investors to come forward for discussions regarding their options. Interested individuals can reach him directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

The investigations stem from DeFi Technologies’ press releases and subsequent financial disclosures, which painted a troubling picture for the company's operational efficiency and competitive positioning in the digital asset trading space. On November 6, 2025, following a notable press release outlining the delays in executing their DeFi arbitrage strategy, DeFi Technologies experienced a stock price drop of 7.43%, indicating investor concerns regarding the company's capacity to thrive amid significant market competition.

Conversely, a substantial decline in revenue—almost 20%—reported later with a shocking revision of the 2025 revenue forecast (from $218.6 million to $116.6 million), further eroded investor confidence. The anticipated failure to meet any earnings expectations was starkly compounded by an announcement regarding the departure of CEO Newton from his post, pivoting to an advisory position, reflecting instability at the firm's leadership level.

The complaint against DeFi Technologies underscores several crucial assertions: they allegedly did not fully disclose the extent of competition faced from decentralized asset trading (DAT) firms and downplayed operational challenges—all of which adversely impacted financial outcomes. Investors should thus be equipped to reflect on the potential implications of these developments, notably concerning the truthfulness of sharing responsibility by misconduct during the estimated timeframe.

With the firm having a proven track record of securing recovery for numerous investors since its inception—recovering hundreds of millions since 1995—there is a high likelihood of effective representation for affected parties. The firm’s proactive approach encourages additional voices from whistleblowers or former employees to step forward, aiming to paint a clearer picture of the underlying issues.

For those interested in learning more about the class-action lawsuit tied to DeFi Technologies, it is suggested to visit Faruqi & Faruqi's website for detailed information and up-to-date communications. This could enable participants to gauge their position in the filing of a suit and the associated benefits of joining forces in the litigation.

Faruqi & Faruqi emphasizes that investor participation in this legal action—whether stepping up as lead plaintiff or remaining part of the class—does not affect the ability to collect any potential compensation from future settlements or court rulings. All communications with the firm remain confidential, promoting a safe dialogue environment to extensively discuss individual circumstances and how best to proceed with the legal navigation brought on by DeFi Technologies’ recent downturns.