Skip to main content

Grayscale and Celsius charged Crypto advertising: are investors being lied to?

 


Since Monday, January 30, Grayscale has been involved in a legal battle over false advertising. The world's largest Bitcoin fund, GBTC, is being released by the US crypto asset manager. The company dominates this market with a 99.5% market share. Nearly, as Osprey is a rival. He has since brought a lawsuit.


Osprey versus Grayscale.

Osprey claims Grayscale misled clients by exaggerating the likelihood that its fund would be listed as a spot exchange-traded ETF, maintaining Grayscale's market dominance. Grayscale, meanwhile, has long had plans to change its bitcoin trust fund into a spot ETF. The US Securities and Exchange Commission (SEC), though, was the reason why earlier attempts failed.


"Only due to false and misleading advertising and promotions, to date, Grayscale has been able to maintain approximately 99.5 percent market share in a two-player market, despite charging more than four times the wealth management fee that Osprey charges for its services," claims Das company in the lawsuit. Even though the business was aware that the approval would never happen, Grayscale presented the conversion as "a foregone conclusion.".


There seems to be a veritable wave of legal action currently sweeping through the cryptocurrency industry, sometimes coming from within and sometimes coming from without. The parent company of Grayscale, the Digital Currency Group, is also involved in a legal battle with the SEC right now over unregistered securities trading, so that is also the case with them.


Advertising tactics that mislead consumers are not uncommon.

Additionally, the bankrupt cryptocurrency lender Celsius must testify in court regarding its marketing strategies. A report on the company's bankruptcy proceedings was provided to Reuters by a US bankruptcy examiner who is looking into the matter. The business model that the company promoted and sold to customers was not what it actually used, the report claims. According to the document, Celsius and its founder Alex Mashinsky, who is currently being investigated for fraud in the United States, have been in breach of their obligations to fulfill promises made in relation to the in-house token (CEL) and other business-related undertakings.

My Top Picks
Honeygain - Passive earner that pays in BTC or PayPal
MandalaExchange -The Best no KYC crypto Exchange! 
Womplay - Mobile dApp gaming platform that rewards in EOS and Bitcoin
Cointiply - The #1 Crypto Earning Site
LiteCoinPay - The #1 FaucetPay earner for Litecoin 
LBRY/Odysee - YouTube Alternative that lets you earn Money by viewing videos!
FaucetPay - The #1 Microwallet Platform
FREEBTC - The #1 FaucetPay earner for Satoshi's
FireFaucet - An earning site that pays better for some than Cointiply

Comments

Post a Comment

Popular posts from this blog

BlackRock launches crypto ETF, certifies massive growth potential for crypto market

  Influential asset manager BlackRock has launched a blockchain index fund (ETF) that offers investors a way to invest in the crypto industry without having to invest directly in related cryptocurrencies. Accordingly, the world's largest asset manager, which currently has assets worth almost 10 trillion. US dollars managed, the so-called Blockchain and Tech ETF (IBLC) was launched this week. The $4.7 million ETF does not invest directly in cryptocurrencies or crypto investment products, but instead tracks various companies within the crypto industry. The ETF is made up of 41 different securities, of which the American crypto exchange Coinbase accounts for the largest share at 11.45%. They are followed by the Bitcoin ( BTC ) mining companies Marathon Digital Holdings (11.19%) and Riot Blockchain (10.41%). To still leave room for future investments in the crypto market, the ETF has a 9.15% cash component in US dollars. In addition to the launch of the new ETF, BlackRock has also publ...
Post a Comment
Read more

Not a bear market: According to the analyst, the current BTC decline is the same as in previous Bitcoin cycles

  According to one analyst, Bitcoin is behaving the same overall this year as it has in previous cycles. Bitcoin ( BTC ) will have “at least one more boost higher” before hitting all-time highs this halving cycle, analysts are currently saying. The well-known analyst TechDev has spoken on Twitter about the current state of BTC and said that contrary to many opinions, nothing unusual has happened in BTC/USD in 2022. Bitcoin in 2021: Nothing to see here Sentiment has also taken a hit, falling 40 percent from November's all-time high of $69,000. There is still “extreme fear” in the bitcoin and altcoin market. TechDev, known for his bullish views on Bitcoin, sees no reason to worry. He analyzed the new wallet addresses in relation to course behavior and shows here that the scenario from last year was by no means an isolated case. Back then, the number of new addresses made lower highs while the price made higher highs. "In 4 of the 6 corrections, there was divergence with price ma...
Post a Comment
Read more

The 5 largest platforms for non-fungible token (NFT) collectibles

  Since the beginning of 2021, non-fungible tokens (NFT) have had no holding back and the sector is setting new records almost every day.  More and more artists, stars and brands are realizing the potential - NFT are well on their way to catapulting the crypto space into the mainstream.  But which collectibles are currently the most popular? What are NFT? NFT are unique tokens that cannot be exchanged one-for-one for an equivalent token.  Any asset that is tokenizable can be an NFT.  This includes, for example, (digital) works of art, trading cards, game items and crypto domains.  Theoretically, however, real estate or securities can also be mapped as NFT. NFTs can be used to transparently map ownership structures on a public blockchain.  This allows them to store value just like real objects, even if additional copies are easy to make.  For example, the original picture of the Mona Lisa is significantly more valuable than a photo, as everyone kno...
11 comments
Read more