John Hastings, the person who sued the company has said that its highly likely that a lot of people have lost money to Unikrn, the eSports startup. Hastings is hoping that his case would get certification as a class action lawsuit and he is looking forward to getting reimbursement for the 10 ETH that he had invested in Unikoins.
Notably, Unikrn was looking to raise over $86 million in Ethereum during its ICO that was live between September and October 2017. The company offered a utility token which did not have any functionality at the time when the ICO was live.
The complaint was filed in Seattle, suggesting that the Unikrn team discussed the coin in a way that made it appear as a security. They also broadcasted that their coin was being purchased by expert investors like Mark Cuban.
When the coin was brought by investors during the ICO, there was no official form signed by the company that stated that Unikcoins was a security. Hastings has clarified that he has not accused Unikrn of fraud, instead, he says that he thought he was buying a different product and received something else.
The value of the token has declined astronomically over various exchanges. The currency saw a drop from $2.35 to a mere $0.05.
The case is underway and we need to wait eagerly to find out the final verdict.
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