Dallas Mavericks owner and multi-billion investor Mark Cuban used to have a negative opinion about
cryptocurrency until 2021.
He shared his optimism toward Bitcoin and Ethereum and strong views about NFTs. However, he has had some missteps, such as the TITAN crash, and now he’s in another hot water this time from fellow crypto investors.
Mark Cuban’s promotion of Voyager Digital led some people to lose money once the crypto market began to collapse.
Some investors filed a class-action lawsuit in the Florida federal court against the Dallas Mavericks, Mark Cuban, and Voyager CEO Stephen Ehrlich. They claim that the defendants’ promotion led 3.5 million investors to lose $5 billion.
The Voyager Bankruptcy and Beyond
The plaintiffs claimed that Cuban and Ehrlich persuaded them into Voyager investments, especially with the Dallas Mavericks owner when he talked investors into paying for USDC and different crypto assets in Voyager.
The lawsuit also stated that Ehrlich claimed that the platform’s rewards depend on the customers’ staked assets. Ehrlich said he was focusing on security and insurance for their investments. Additionally, the plaintiffs said that Mark Cuban wants to increase Voyager’s presence to individuals without much money and little experience in investing.
Back in October 2021, Mark Cuban also announced that the Dallas Mavericks would collaborate with the Voyager platform, where fans can directly trade with cash on the site. Additionally, the Mavs officially saw Voyager as its brokerage in cryptocurrencies.
Fear Continues to Spread in Crypto
Naturally, any constantly falling chart will make any paper-handed investor panic and eventually sell the assets. The continuous decline of Bitcoin since its peak of $69,000 left many wondering when the bottom will ever be. Some say it already hit the moment BTC landed on the $17K zone, with analysts declaring
that the cryptocurrency is now resting on the 200-day weekly bottom.
The fear also comes from consecutive hacks, including the Voyager platform mentioned above, multiple bridge hacks like Ronin and Nomad, and the de-pegging of the Terra US Dollar (UST).