#United States #New York #Class Action #DeFi Technologies #Faruqi & Faruqi

Faruqi & Faruqi and the DeFi Technologies Class Action

Faruqi & Faruqi, LLP, a reputable law firm specializing in securities litigation, is currently investigating potential claims against DeFi Technologies Inc. This comes in light of a class action lawsuit that has been filed against the company, with a significant deadline approaching. Investors who suffered losses from May 12, 2025, to November 14, 2025, are urged to take action before the lead plaintiff deadline of January 30, 2026.

The allegations raised in the lawsuit highlight serious issues pertaining to deception and misinformation that may have led to substantial investor losses. According to the complaint, the executives of DeFi Technologies reportedly violated federal securities laws by making various misleading statements. Furthermore, they failed to disclose critical operational delays regarding the company's DeFi arbitrage strategy—a key revenue driver that many investors relied upon.

The complaint's details reveal that DeFi Technologies allegedly minimized the competitive pressure from other digital asset trading companies (DAT) and how this competition affected its performance. As a result of these misrepresentations, the firm failed to meet previously issued revenue forecasts for the fiscal year 2025, leading to a significant drop in investor confidence and stock prices.

On November 6, 2025, amid growing concerns, DeFi Technologies publicly shared details about an arbitrage trade involving its DeFi Alpha initiative. This disclosure pointed out that other DATs had significantly absorbed or postponed many potential arbitrage opportunities throughout the year. Consequently, on the same day, DeFi's stock price witnessed a drop of 7.43%, closing at $1.62 per share.

Further compounding these issues, a financial report released on November 14, 2025, revealed a staggering revenue decline of nearly 20%, which was significantly below market expectations. In response to the unfavorable results, the company adjusted its revenue forecast for 2025 drastically, from $218.6 million down to approximately $116.6 million. This revision was attributed to delays in executing key arbitrage opportunities due to increasing competition and market volatility.

DeFi Technologies also announced the resignation of its CEO, who transitioned to an advisory role, a change viewed negatively by the market. Following these announcements, the company's shares plummeted over the next trading sessions, registering a decline of 27.59%, with stocks closing at $1.05 per share on November 17, 2025.

The lawsuit emphasizes that a lead plaintiff will play a crucial role in representing the financial interests of all affected investors. Any investor classified within the proposed class who wishes to seek lead plaintiff status can do so through their chosen legal counsel. It is vital for investors to recognize that participation as a lead plaintiff or remaining a class member will not affect their rights to recover any losses.

Faruqi & Faruqi encourages anyone with pertinent information regarding the activities of DeFi Technologies to get in touch, including whistleblowers and former employees. This call for information is crucial as the firm works to assemble a robust case to support investors after these troubling developments.

To explore more about the pending class action against DeFi Technologies, interested parties can reach out through the firm's website or contact partner Josh Wilson directly at either 877-247-4292 or 212-983-9330 (Ext. 1310). Regular updates and additional details are also available on their social media platforms, including LinkedIn, X, and Facebook.

Faruqi & Faruqi has a long-standing history of protecting investor rights and securing recoveries amounting to hundreds of millions of dollars. The firm encourages every investor touched by these events to be proactive in understanding their rights and options moving forward.