Pomerantz Law Firm Launches Class Action Against DeFi Technologies and Executives

Pomerantz Law Firm Files Class Action Against DeFi Technologies Inc.

On January 15, 2026, Pomerantz LLP announced the initiation of a class action lawsuit against DeFi Technologies Inc. (NASDAQ: DEFT) and certain of its senior executives. The legal action is taking place in the United States District Court for the Eastern District of New York under docket number 25-cv-06637. This class action is intended for individuals and entities—other than the defendants—who purchased or acquired DeFi Technologies securities from May 12, 2025, to November 14, 2025. The goal of the lawsuit is to recover damages stemming from alleged breaches of federal securities laws by the defendants.

The representatives of Pomerantz have encouraged investors who fall under this category to request the court appoint them as the Lead Plaintiff for the class. Interested parties can obtain a copy of the Complaint on the firm’s website. Communication regarding the lawsuit can be directed to Danielle Peyton via email or phone.

Overview of DeFi Technologies Inc.

DeFi Technologies positions itself as a specialized firm within the technology and digital asset treasury sectors, primarily developing exchange-traded products that reflect the performance of various decentralized finance (DeFi) protocols. The company also provides asset management services that offer indirect exposure to core digital assets, along with management of digital asset indexes and diverse DeFi instruments. Founded in 1986 and based in Toronto, Canada, the company was previously known as Valour Inc. until its rebranding in July 2023. Today, one of its subsidiaries continues to operate under the legacy name Valour.

The company boasts five distinct business segments. Notably, DeFi Alpha is highlighted on its website as a specialized arbitrage trading desk dedicated to identifying and capitalizing on low-risk opportunities within the cryptocurrency landscape. The company has consistently assured investors of DeFi Alpha’s role in driving its revenue, framing its strategies to minimize exposure to market and protocol risks, which they claim effectively mitigates revenue volatility.

Throughout the class period, DeFi Technologies emphasized its arbitrage trading activities and the revenue implications of these trades. Just two days after its stock was listed on Nasdaq, it presented its first-quarter financial results for 2025, boasting a projected revenue of C$285.6 million for the year. This represented a significant uptick compared to the preceding fiscal year and was characterized as an indication of the firm’s accelerating growth.

In subsequent announcements, DeFi Technologies maintained positive forecasts for its revenues, with the CEO reiterating confidence in its performance. However, as the period extended into later months, significant events began to unfold.

On September 25, 2025, the company announced a successful $100 million direct stock offering targeted by prominent institutional investors. This was a promising sign; however, beneath the surface, the firm's executives were aware of issues affecting its performance. Allegations have surfaced that throughout the class period, executives produced false or misleading representations regarding the company's operations, competition, and overall business health.

Allegations and Impact on Investors

Specifically, the lawsuit states that defendants misrepresented the severity of operational delays in executing the DeFi arbitrage strategy, which was a crucial revenue driver for the firm. These issues were compounded by underestimating competitive pressures from other digital asset treasury providers. As a direct result, the firm’s ambitious revenue guidance for 2025 was increasingly viewed as unattainable.

Further complicating matters, following a disappointing earnings report on November 14, 2025, which revealed a revenue decline of approximately 20%, the company drastically lowered its revenue expectations. It attributed this drop to execution delays and fluctuations in digital asset prices. Following this announcement, DeFi Technologies experienced a precipitous decline in its stock price, signaling a lack of investor confidence.

The revelations surrounding DeFi Technologies have prompted Pomerantz LLP to step in, acting on behalf of affected investors. The firm, known for its extensive history in corporate and securities litigation, continues to advocate for the rights of shareholders harmed by corporate misconduct. Over the years, Pomerantz has successfully secured billions in restitution for stakeholders and is poised to tackle this recent case with the same vigor.

This unfolding situation serves as a critical reminder to investors about the importance of transparency and accountability in financial disclosures. As the class action progresses, many will be watching closely to see how it impacts the trajectory of DeFi Technologies and the broader cryptocurrency market.

For those interested in joining the class action or seeking further information, consult the contact details provided by Pomerantz LLP, and be aware that timelines for participation are critical as the case moves forward.