cyrpto Coin, faces, giant, lawsuit, meme, Pump.fun Mark January 31, 2025 0 Comments

Meme coin giant Pump.fun faces second lawsuit

Legal problems catch up with pumping. With two moving proceedings and allegations of fraud in flight, does this casino even a corner finally lack luck?

Pump.fun, a notorious platform for launch Same corners on the Solana (GROUND) Blockchain, now faces a second class action trial Only a few days after the first.

The legal battle, led by Burwick Law and Wolf Popper LLP, alleges that the platform violates American securities laws by selling non-recorded securities disguised as tokens even.

** Trial alert **

Burwick Law and @Wolfpopopperllp have filed a second federal collective appeal on behalf of investors against the Pumpdotfun platform.

Complete complaint available below.

– Burwick Law (@burwicklaw) January 30, 2025

The last trial, filed on January 30 in the South New York district, appoints several defendants, notably Baton Corporation LTD (operating as Pump.fun) and key figures Alon Cohen, Dylan Kerler and Noah Bernhard Hugo Tweedale.

According to court documents, the applicant Diego Aguilar says he suffered financial losses after buying several tokens on the platform, including FWOG (Gurdy) Token and the griffin (Griffin) Token.

These tokens, aggressively marketed with the culture of the same and the promises of exponential returns, would have led to significant losses despite a high value, such as the FWOG token, which was promoted as having reached a market capitalization of $ 500 million.

This trial follows a precedent case Posed on January 16 by Burwick Law on behalf of Kendall Carnahan, targeting the sale of peanut L’Equureuil (Hoist) Token.

** Justice action alert: Pumpdotfun **

Burwick Law continues legal action on behalf of Pumpdotfun Memecoins investors. If you’ve lost money from Pompedotfun’s same, you may be entitled to compensation.

Read more below.

– Burwick Law (@burwicklaw) January 15, 2025

The complaint argues that Pump. The trial also alleges that the business model of the platform represents an advanced form of Ponzi and Pump-Dump diagrams, extracting almost half a billion dollars from investor costs.

Burwick Law’s legal campaign against Pump.fun is not surprising. January 15, Max Burwick, founder and partner of the company, openly critical Platforms like Pump.fun, calling them “the ultimate evolution of marketing scams on several levels, attacking human despair and the economy of digital attention”.

With imminent legal announcements, I want to make my personal position on the farm of the same available. Read it below. Do not hesitate to share! pic.twitter.com/adndcqnrxh

– Max Burwick (@burwick_max) January 15, 2025

On the same day, his business urged investors who have lost money against the same, via carpet prints and misleading promises to come forward, later launching a dedicated website to help the customers concerned.

Beyond legal problems, Pump.fun also faced controversy on the characteristics of its platform. In November 2024, he introduced a live function To stimulate user engagement.

However, reports quickly emerged from users who abuse functionality to disseminate disturbing and explicit content, including violent materials and graphic images involving minors and animals. The counterpoup forced Pump. Fun to stop functionality after the generalized conviction of the cryptographic community.

Despite increasing legal and reputation challenges, Pump.fun continues to generate massive income. As of January 31, data De Dune Analytics indicates that the total benefit of the platform is approaching $ 500 million, with almost $ 47 million in revenues received in last week.