US Rapper T.I. Sued For Cryptocurrency Pump-And-Dump Scheme

US Rapper T.I. Sued For Cryptocurrency Pump-And-Dump Scheme

The US rapper and actor T.I. is now being claimed for securities fraud regarding a supposed cryptocurrency scam. A group of disgruntled investors filed a lawsuit this past Thursday inquiring ”at least $5 million”.

This news appears from the celebrity news media outlet The Blast. T.I. is supposed to have engaged in a cryptocurrency ”pump and dump” system together with his business partner.

More particularly, T.I. Created a cryptocurrency called FLiK Token with entrepreneur Ryan Felton back in August of 2017. Moreover, possible investors were encouraged that a dramatic upswing in the price of the token was expected.

Investors were promised returns of ~25,000%

Although the break price was a mere 6 cents per FLiK  Token, Felton is supposed to have stated it would rocket to $14.99 within 15 months. If indeed received, such a price increase would describe an increase of 24,983% percent.

But, the get-rich-scheme then quickly backfired, according to reports shared by entertainment news platform TMZ. Although the price of FLiK Tokens initially surged from $0.06 to $0.21, they are currently trading at a rate of less than a particular cent.

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A group of dissatisfied investors that reportedly invested $1.3 million in FLiK Tokens has now taken the matter to the courts. The plaintiffs argue that their investments in ”now useless securities called FLiK Tokens” was mischaracterized by T.I. And Felton.

Felton and T.I. probably orchestrated the pump-and-dump scheme

Furthermore, they also dispute that Felton and T.I. Used investments to inflate the price of the token, before dumping the asset. In an interest to this, the lawsuit also alleges that Felton created a new organization which supposedly acquired FLiK, and then notified investors he was not associated with it.

Felton probably also indicated that Dallas Mavericks owner and billionaire Mark Cuban was about to become onboard.

The TMZ piece also suggests that US actor Kevin Hart was touted as an active supporter of the FLiK Token. Moreover, Hart is announced to have promoted the coin through his Twitter account. Nonetheless, Hart is not related to the lawsuit.

Furthermore, the dissatisfied investors’ attorney filed a formal lawsuit this past Thursday. According to TMZ, the group is ”going after Felton and T.I. for at least $5 million”.

#Crypto #Crypto news #Cryptocurrency

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