Pomerantz Law Firm Files Class Action Lawsuit Against DeFi Technologies Inc. for Securities Violations

Legal Proceedings Unveiled Against DeFi Technologies

On January 22, 2026, Pomerantz LLP, a respected law firm known for its litigation in the financial sector, officially announced the initiation of a class action lawsuit targeting DeFi Technologies Inc. and several of its top officials. The case has been lodged in the United States District Court for the Eastern District of New York, and is formally recorded under the docket number 25-cv-06637.

This class action lawsuit is significant as it represents all individuals and entities, except for the defendants, who acquired or purchased securities from DeFi Technologies between May 12, 2025, and November 14, 2025—a period during which these investments reportedly suffered due to alleged breaches of federal securities laws by the defendants. The accusations focus on violations detailed under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, alongside Rule 10b-5.

Individuals who invested in DeFi Technologies during the class period have until January 30, 2026, to submit a request for the court to appoint them as Lead Plaintiff. Interested parties can access the official complaint via Pomerantz's website for further information regarding their potential involvement in the proceedings.

Overview of DeFi Technologies

DeFi Technologies positions itself as a technology-focused and digital asset treasury company that crafts exchange-traded products (ETPs) in Canada. These products closely track either the value of individual decentralized finance (DeFi) protocols or a diversified basket of such protocols. The company also offers various asset management services, which include providing indirect exposure to underlying digital assets along with other DeFi instruments.

Historically, the company operated under the name Valour Inc. and rebranded to DeFi Technologies Inc. in July 2023. Since its incorporation in 1986, the firm has been headquartered in Toronto, Canada.

One of DeFi Technologies’ main divisions is known as DeFi Alpha, marketed as a specialized arbitrage trading desk. This segment strives to identify and capitalize on low-risk arbitrage opportunities within the cryptocurrency market. Throughout the relevant time frame, the company has emphasized that DeFi Alpha was a critical component in driving revenue, promising minimal market exposure and revenue fluctuations as a result.

Allegations of Misconduct

The lawsuit alleges that throughout the class period, DeFi Technologies and its officers misled investors with materially false and deceptive statements regarding the company's operational status, future prospects, and profitability metrics. Among the claims are accusations that the organization was facing significant delays in executing its DeFi arbitrage strategy, which the company had characterized as a central revenue driver.

Additionally, claims suggest that DeFi Technologies had not appropriately acknowledged the competitive pressures it faced, thus failing to convey the negative ramifications for its operations. As a result, investors were led to believe that the firm would meet its earlier revenue projections for fiscal year 2025—guidance that has now been critically reduced from US$218.6 million to a mere US$116.6 million.

This substantial decrease in expected revenues is attributed to reported delays that arose from heightened competition among digital asset treasury firms and growing consolidation within cryptocurrency price movement towards the end of 2025.

After a series of disclosures revealed these setbacks, DeFi Technologies experienced significant stock price depreciation, plummeting by 27.59% in just two trading sessions following the announcement of the reduced revenue forecast.

A Legacy of Class Action Success

Pomerantz LLP, recognized as a leader in the domain of corporate and securities class action litigation, has been fighting tirelessly for the protections of investors for over 85 years. Their commitment to advocating for victims of financial fraud and corporate malpractice has resulted in billions in recoveries for class members. Interested investors seeking more information can reach out to Danielle Peyton at Pomerantz LLP via email at [email protected] or by phone at 646-581-9980.

This unfolding class action serves as a crucial reminder for investors to remain vigilant and informed concerning the companies in which they choose to invest. The unfolding legal process against DeFi Technologies will likely be pivotal in shaping its future and that of its stakeholders.