Nvidia is facing a class-action lawsuit over Nvidia crypto miners\u2019 mining rigs, alleging that it misled investors about the volume of sales.<\/p>\n
This follows the U.S. Supreme Court\u2019s <\/span>decision on December 11<\/span><\/a> to dismiss the company\u2019s appeal, effectively reinstating a lawsuit <\/span>that was<\/span> previously <\/span>dismissed<\/span> by a California district court in 2021.<\/span><\/p>\n The Supreme Court\u2019s one-line order confirmed the Ninth Circuit\u2019s ruling from August 2023, which revived the 2018 lawsuit filed by Nvidia shareholders. <\/span><\/p>\n EXPLORE:\u00a0<\/span>Top 10 Best AI Trading Bots for Crypto in August 2024<\/span><\/a><\/strong><\/p>\n The shareholders claim that Nvidia hid over $1 billion in GPU sales made to crypto miners and that CEO Jensen Huang downplayed the scale of these sales.<\/span><\/p>\n The lawsuit centers on the allegation that Nvidia\u2019s GPU sales were artificially inflated due to crypto mining demand, particularly during a boom in 2017 and 2018. <\/span><\/p>\n The sales reportedly collapsed alongside the downturn in the cryptocurrency market in late 2018, causing Nvidia\u2019s share price to drop by nearly 30% over two days.<\/span><\/p>\n Nvidia has denied the claims, arguing that the lawsuit is based on fabricated information. <\/span><\/p>\n U.S. Supreme Court Declines Nvidia Securities Fraud Case<\/p>\n Tickers of interest: $NVDA<\/a><\/p>\n The U.S. Supreme Court dismissed Nvidia’s appeal in a 2018 securities fraud lawsuit, leaving in place a lower court ruling that allows shareholders to proceed with their claims.\u2026 pic.twitter.com\/ULMf7ndGPW<\/a><\/p>\n \u2014 PiQ (@PiQSuite) December 11, 2024<\/a><\/p>\n\n In support of the plaintiffs, the U.S. Department of Justice and the Securities and Exchange Commission (SEC) provided evidence, including statements from former Nvidia executives and a Bank of Canada report. <\/span><\/p>\n The SEC and DOJ said that Nvidia\u2019s argument did not align with the facts of the case.<\/span><\/p>\n The legal battle follows a 2022 settlement in which Nvidia paid $5.5 million to the SEC over charges of inadequate disclosure regarding the impact of crypto mining on its gaming business. However,<\/span>\u00a0it did not admit to any wrongdoing.<\/span><\/p>\n EXPLORE:\u00a0<\/span>11 Best AI Crypto Coins to Invest in 2024<\/span><\/a><\/strong><\/p>\n In August, advocacy group The Digital Chamber (TDC), previously known as The Chamber of Digital Commerce,\u00a0<\/span>filed an amicus brief<\/span><\/a>\u00a0supporting Nvidia\u2019s request for the Supreme Court to overturn a lower court\u2019s decision.<\/span><\/p>\n At the time, TDC, whose members include industry crypto heavyweights such as Crypto.com, Ripple, and Binance, argued that the case failed to meet the standards set by the Private Securities Litigation Reform Act of 1995 (PSLRA) designed to protect emerging technologies.<\/span><\/p>\n The group cautioned that if the plaintiffs win, it could set a precedent for speculative and unsupported claims to succeed in court. This could lead to\u00a0many\u00a0lawsuits against crypto companies, burdening them with costly litigation and discouraging investment.<\/span><\/p>\n \u201cUltimately, this would slow the growth of blockchain technology and undermine the\u00a0protections\u00a0the PSLRA was designed to provide for emerging, high-tech industries,\u201d the group warned.<\/span><\/p>\n EXPLORE:\u00a0<\/span>What Are Crypto AI Coins? A Beginner\u2019s Guide<\/span><\/a><\/strong><\/p>\n The post Nvidia Hit with Class-Action Lawsuit Over Crypto Miner Sales After Supreme Court Denies Appeal<\/a> appeared first on 99Bitcoins<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Nvidia is facing a class-action lawsuit over Nvidia crypto miners\u2019 mining rigs, alleging that it misled investors about the volume of sales. This follows the U.S. Supreme Court\u2019s decision on December 11 to dismiss the company\u2019s appeal, effectively reinstating a lawsuit that was previously dismissed by a California district court in 2021. The Supreme Court\u2019s […]<\/p>\n","protected":false},"author":0,"featured_media":27880,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-27879","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/27879"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=27879"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/27879\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/27880"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=27879"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=27879"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=27879"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Nvidia Allegedly Hid $1 Billion in GPU Sales Made to Crypto <\/span>Miners<\/span><\/h2>\n
Advocacy Group Supports Nvidia<\/span><\/h2>\n