Core Viewpoint - DeFi Technologies Inc. is under investigation for potential securities law violations, with a class action lawsuit filed against the company, highlighting significant issues related to its revenue guidance and competition in the market [1][3]. Group 1: Allegations and Financial Impact - The complaint alleges that DeFi Technologies and its executives made false or misleading statements regarding delays in executing their DeFi arbitrage strategy, which is crucial for revenue generation [3]. - The company reportedly understated the competition it faced from other Digital Asset Trading (DAT) companies, which negatively impacted its ability to execute its arbitrage strategy [3]. - Due to these issues, DeFi Technologies is unlikely to meet its previously issued revenue guidance for fiscal year 2025, leading to a downplaying of the negative impacts on its business and financial results [3]. Group 2: Stock Price Reaction - Following a press release on November 6, 2025, regarding an arbitrage trade, DeFi Technologies' stock price fell by $0.13 per share, or 7.43%, closing at $1.62 [4]. - On November 14, 2025, the company reported a nearly 20% revenue decline, significantly lowering its 2025 revenue forecast from $218.6 million to approximately $116.6 million, which led to a further stock price drop of $0.40 per share, or 27.59%, closing at $1.05 [5][6]. Group 3: Legal Proceedings - The deadline for investors to seek the role of lead plaintiff in the class action lawsuit is January 30, 2026, with the lead plaintiff being the investor with the largest financial interest in the case [1][7]. - Faruqi & Faruqi, LLP is encouraging individuals with information regarding DeFi Technologies' conduct to come forward, including whistleblowers and former employees [8].
SHAREHOLDER INVESTIGATION: Faruqi & Faruqi, LLP Examining Potential Securities Law Violations at DeFi Technologies