Investors of DeFi Technologies Urged to Act Before Class Action Deadline Approaches in January 2026

Important Notice for DeFi Technologies Investors

Faruqi & Faruqi, LLP, a prominent name in national securities law, has brought attention to the impending lead plaintiff deadline as part of a federal class action lawsuit targeting DeFi Technologies Inc. (NASDAQ: DEFT). Investors who acquired shares within the window from May 12, 2025, to November 14, 2025, are strongly encouraged to consider their legal options ahead of the January 30, 2026 deadline.

The firm, which holds a solid reputation for recovering significant funds for investors, is conducting an in-depth investigation into the claims against DeFi Technologies. Allegations center around the company's purported violations of federal securities laws, primarily stemming from misleading statements and a failure to adequately disclose adverse conditions affecting the firm's operations.

Overview of Allegations

The lawsuit, currently underway, points to several critical issues:
1. DeFi Technologies' Delayed Execution: The firm is alleged to have faced substantial delays in implementing its DeFi arbitrage strategy, a pivotal revenue generator for its operations.
2. Understated Competition: It is claimed that DeFi Technologies significantly downplayed the level of competition from other digital asset trading (DAT) companies, which has had a negative impact on their business performance.
3. Revenue Shortfall: As a result of these challenges, the company is predicted to falter in meeting its previously established revenue guidance for the fiscal year of 2025.

In an effort to mitigate the fallout, DeFi Technologies made public statements that have since been deemed materially misleading, as they did not reflect the true challenges the company was facing.

Significant Market Reaction

On November 6, 2025, the company issued a press release regarding an arbitrage trade by its DeFi Alpha, which highlighted setbacks in capturing arbitrage opportunities in the market. This announcement led to a considerable drop in the company's stock price, reducing it by 7.43% to $1.62.

Shortly after, on November 14, 2025, DeFi Technologies reported dismal third-quarter results, with revenues plummeting approximately 20% off market expectations. They revised their entire revenue forecast for the year from $218.6 million to a starkly lower $116.6 million, attributing this crunch to the unexpected proliferation of DAT firms and limited opportunities in digital asset trading during the latter part of the year. This disclosure further worsened investor sentiment, causing the stock to plummet by nearly 28% to close at $1.05.

Taking Action

As the deadline draws near, Faruqi & Faruqi emphasizes the importance of collective action among investors. Interested parties are encouraged to contact partner James (Josh) Wilson for a consultation about their rights and options within this class action framework. Investors can remain anonymous or opt to pursue lead plaintiff status, which will not affect their potential recovery.

For additional insights or to share relevant information about DeFi Technologies, potential class members, including whistleblowers and those with firsthand knowledge, are also invited to reach out to the firm. A dedicated webpage has been established specifically for inquiries related to the DeFi Technologies class action, making it easier for investors to navigate this critical period.

For further details, interested individuals can visit Faruqi & Faruqi's website or contact the firm directly by phone. In a time of significant uncertainty in digital asset markets, staying informed and proactive is crucial for those affected.

Conclusion

As the January 30, 2026 deadline looms, investors are advised not to delay in evaluating the situation and seeking legal advice. The circumstances surrounding DeFi Technologies present an essential reminder of the complexities of the securities marketplace and the need for vigilance in safeguarding their investments.