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encryption mining company Stronghold has agreed to pay $4.75 million and 25 BTC to settle a class action lawsuit
Odaily Planet Daily News According to court documents, Stronghold Digital, an encryption mining company, has agreed to pay $4.75 million and 25 BTC to settle a collective lawsuit alleging that it exaggerated its BTC mining capabilities during the 2021 IPO. The proposed settlement protocol, reached after a year of mediation, will be paid out in batches of BTC over the next 24 months. The lawsuit was filed by the plaintiffs in the Southern District of New York Court in April 2022. Under the proposed settlement protocol, Stronghold and the underwriters (a group of investment banks responsible for Stronghold's 2021 IPO) have agreed to compensate in cash and BTC after a year of mediation. The BTC portion is valued at approximately $2.2 million based on the current BTC price ($90,000). (Bloomberg)