Core Viewpoint - DeFi Technologies is facing a federal securities class action lawsuit due to allegations of misleading statements and failure to disclose critical operational challenges during the Class Period from May 12, 2025, to November 14, 2025 [3]. Group 1: Lawsuit Details - The lawsuit claims that DeFi faced delays in executing its DeFi arbitrage strategy, which was a key revenue driver for the company [3]. - It is alleged that DeFi understated the competition from other digital asset treasury companies, impacting its ability to execute its arbitrage strategy [3]. - The company is accused of failing to meet its previously issued revenue guidance for fiscal year 2025 due to these issues [3]. Group 2: Financial Impact - On November 6, 2025, DeFi's share price fell by approximately 7.43%, from $1.75 to $1.62, following a press release indicating that digital asset treasuries had absorbed a significant share of arbitrage opportunities [4]. - Following the announcement of a nearly 20% revenue decline and a significant reduction in the 2025 revenue forecast from $218.6 million to approximately $116.6 million on November 14, 2025, DeFi's share price dropped by about 14.63%, from $1.23 to $1.05 [5].

Core Viewpoint - The lawsuit against DeFi Technologies alleges that the company made misleading statements regarding its financial performance and competitive landscape, leading to significant losses for investors during the specified class period [2]. Group 1: Lawsuit Details - The lawsuit is on behalf of investors who purchased securities from May 12, 2025, to November 14, 2025, alleging false statements and omissions regarding the company's DeFi arbitrage strategy and competition [2]. - Key allegations include delays in executing the DeFi arbitrage strategy, understatement of competition from digital asset treasury companies, and an inability to meet previously issued revenue guidance for fiscal year 2025 [2]. Group 2: Financial Impact - On November 6, 2025, DeFi's share price fell by approximately 7.43%, from $1.75 to $1.62, following a press release indicating that digital asset treasury companies had absorbed a significant share of arbitrage opportunities [3]. - Following the Q3 2025 financial results announcement on November 14, 2025, which reported a nearly 20% revenue decline and a lowered revenue forecast from $218.6 million to approximately $116.6 million, the share price dropped by about 14.63%, from $1.23 to $1.05 [4].