Unikrn, a gambling initiative that grossed nearly $ 31 million in the first money offer (ICO) in 2017, was the latest ICO-financed project with a class action by a disgruntled investor.
The Seattle-based company, which was launched as the only fully licensed and regulated gaming platform in the world in 2014, was sued by John Hastings, a resident of Las Vegas, claiming that UnikoinGold Tokens (UKG) had generally abolished federal securities infringements. it is far more publicly than just creditworthy investors.
According to Unikrn’s local Washington state documentation, Hastings claims that although Unikrn is called the UKG’s service tokens, it functions functionally as security markers, as many buyers buy them with the expectation that they will appreciate. The complaint said the UKG made an illegal offer of securities.
“Investors in UnicoinGold ICO, including Potential Claimant and Class, made their investments with a reasonable expectation of profit,” he claimed. “The accused have created an ugly front that the UKG Tokens are not” securities “, claiming they are” benefit markers “.”
However, the performance of this investment failed to respond to expectations and the UKG depreciated against both USD and BTC. At one point in early January UKG was worth $ 2.47, but the coins are now trading at only five kurt.
Unikrn is the latest in ICO-financed projects that investors seeking to compensate investors for losses by persuading the Court to award illegitimate remunerations. This list includes Tezos, a record breaking record of $ 232 million in 2017 and now in the 18th valuable crypt currency.
UKG’s ICO presale includes a number of important investors, including billionaire Dallas Mavericks’ owner Mark Cuban and crypto-billionaire Brock Pierce, as well as piracy hedge funds Pantera Capital and Blockchain Capital. Prior to holding an ICO, Unikrn received traditional venture funding from Ashton Kutcher, among others.
Unikrn CEO Rahul Sood told Geekwire that he was protecting the company’s Seattle law firm Perkins Cole and “trying to defend their interests” in court.