Argo Blockchain Faces Class-Action Lawsuit for Misleading Investors

• A lawsuit was filed against Argo Blockchain, accusing it of making false statements.
• Argo Blockchain’s Chief Financial Officer stepped down from his position.
• It is the law firm Rosen that announced the lawsuit against Argo Blockchain.

Argo Blockchain has been under scrutiny ever since a lawsuit was filed last week. The lawsuit alleges that the cryptocurrency miner misled the investors by making false statements and failing to provide complete information during its IPO period in 2021.

Now, another lawsuit is on the way by the Rosen Law firm, according to the latest press release. The lawsuit is on behalf of the purchasers of the American Depository Shares (ADSs) of Argo Blockchain. The law firm also stated that the investors must file their petitions with the court by March 27, 2023. The lawsuit alleges that Argo Blockchain made misleading statements and was also negligent.

Argo Blockchain was sold to the Helios facility by Galaxy Digital Holdings on December 29, 2022. Following the sale, the chief financial officer and executive director of Argo Blockchain, Alex Appleton, stepped down from his position.

According to the details, the cryptocurrency firm is looking for a replacement with the help of an executive search firm. Appleton was quoted saying:

I am very proud of what we have achieved over my time with Argo. The business has great potential, and I wish the Argo team all the best for the future.

Argo Blockchain is a large-scale cryptocurrency miner with operations spread across Texas, the US, the UK, and Canada. It was also one of the companies to become the first climate-positive cryptocurrency mining firm.

Cryptocurrency mining firms were struggling throughout the prolonged bear market of 2022. However, the situation seems to be getting better as the prices of BTC and other altcoins have risen by double-digits.