Crypto Promotion Lawsuit Against Billionaire Mark Cuban and Dallas Mavericks Tossed

Crypto Promotion Lawsuit Against Billionaire Mark Cuban and Dallas Mavericks Tossed

A US federal judge threw out a crypto investor lawsuit against Mark Cuban and the Dallas Mavericks, ending a case that tried to pin Voyager Digital’s collapse on celebrity-style promotion and team marketing.

Judge Roy K. Altman of the US District Court for the Southern District of Florida said in an order dated Friday that the plaintiffs failed to establish personal jurisdiction over Cuban and the team, and the court lacked a sufficient connection between Florida and the alleged promotion.

The suit, filed in 2022, argued that Cuban pushed fans toward Voyager’s interest-bearing accounts after he said at an Oct. 2021 Mavericks news conference that he had personally invested in the company.

It also pointed to a Mavericks post that offered $100 in Bitcoin to customers who downloaded Voyager’s app, opened an account, deposited $100, and made one trade.

Cuban’s lawyers argued the Florida court had no jurisdiction over Cuban or the team, and said he warned people to be careful with their money.

Voyager Once Held Billions Before 2022 Bankruptcy

Brown Rudnick, which represented Cuban and the Mavericks, said Judge Altman dismissed the case without prejudice after years of litigation and jurisdictional discovery, adding that nationwide promotions did not amount to purposeful targeting of Florida residents under the state’s long arm statute and due process limits.

“We couldn’t be more pleased with the absolute right result,” Steve Best, lead counsel for Cuban and the Mavericks, reportedly told ESPN.

“I suspect that the plaintiffs will consider filing in another jurisdiction. … I look forward to defending Mark and the Mavericks in any jurisdiction in this country. “Mark doesn’t settle when he believes he is on the right side of the law.”

The case sits within a broader wave of lawsuits aimed at athletes and celebrities who promoted crypto platforms that later failed, including Voyager, which filed for bankruptcy in July 2022.

Voyager reportedly held more than $5B in assets in 2021 and counted nearly 3.5M investors before its collapse.

Cuban has since sold his majority stake in the Mavericks to casino magnate Miriam Adelson.

Follow us on Google News