Yuga labs created one of the most popular NFT in the NFT market. The NFT was coined as Bored Ape Yacht Club NFT Collection. Yuga labs also went on to launch its native token known as Ape Coin, which did capture the market to a great extent.
According to the reports, Yuga Labs promoted both of its digital assets via influencers and popular personalities around the world. The list of influencers included Snoop Dogg, Tom Brady and Paris Hilton. According to the report, due to such a strategy, the Yuga Lab was able to sell its digital work at $3.4million last year. Lets look at the tweet related to the sale of the NFT.
The tweet evidently shows that the sale was carried out for BAYC NFT which was sold for $3,408,000 precisely.
Yuga Labs wrongly influencing investors
Credits: ICO Drops
According to the allegations put on Yuga Labs, the company has reportedly influenced the investors to buy the NFTs and the token at an inflated rate. The allegations add that, “Investors were wrongly influenced to buy the company’s NFT and Cryptocurrency.” Lawyers assert that Yuga Labs overpromised high profits in order to “inflate” the price of its NFTs by using celebrity promoters and sponsorships.
Scott+Scott to file action lawsuit against Yuga Labs!
Scott+Scott has gone on to make serious allegations against Yuga Labs. The lawyers stated that the company firstly earned millions of dollars by selling the NFT unethically and then went on to introduce its own cryptocurrency, just to fleece more investors. Ape coin started trading in March, but the rise of the cryptocurrency was short lived due to the market crash which occurred in May.
Scott+Scott is also inviting all the individual or retail investors to join forces with them and file an action lawsuit against the company and make them pay for their unethical strategies.
Some of the cryptocurrency experts, also went on to criticize the law firm for making a challenge against Yuga, and blamed investors for not knowing to hold up their investments.
Although a formal complaint has not yet been made, Scott+Scott would need to provide proof that investors were unaware of the risks involved or that they were unaware that famous people were (supposedly) being paid to promote the NFTs they owned.
The digital currency space moves at breakneck speeds, and unfortunately, so do the criminals exploiting it. Traditional authorities have not often provided success for cryptocurrency fraud victims; however,...
It was an action-packed day for Wall Street and digital currency enthusiasts. On June 12, spot Bitcoin exchange-traded funds caught a much-needed break, pulling in $85.85 million in...
The Securities and Exchange Commission (SEC) is preparing to dismantle a cornerstone of modern financial market structure. In a highly anticipated move on June 11, the SEC officially...
