Originally published on: November 14, 2024
Former Olympian Caitlyn Jenner is in hot water as a group of memecoin buyers files a proposed class-action lawsuit against her. The buyers, Naeem Azad and Mihai Caluseru, from the United Kingdom and Romania, respectively, accused Jenner of selling an unregistered security in the form of a celeb token.
The complaint, filed in a California federal court, alleges that Jenner and her manager Sophia Hutchins “fraudulently solicited financially unsophisticated investors worldwide to purchase unregistered securities.” Azad and Caluseru claim to have lost over $56,000 investing in JENNER on Ethereum and Solana because of misleading statements by Jenner.
The lawsuit further alleges that Jenner failed to register the token with the Securities and Exchange Commission, resulting in significant financial losses for investors who lacked crucial information to evaluate the risk. JENNER initially launched on Solana but faced controversy, with its value plummeting since inception.
The Ethereum version of JENNER has hit rock bottom, with its trading volume barely registering on CoinGecko. The lawsuit argues that Jenner has all but abandoned the project, leaving investors with irreversible losses. Jenner’s actions, such as relaunching the token on Ethereum and imposing undisclosed transaction taxes, have further fueled the legal battle.
The complaint paints a grim picture, accusing Jenner of securities and common law fraud, securities law violations, and aiding and abetting fraud. Hutchins is also implicated in the lawsuit for her involvement in the alleged misconduct. Jenner and Hutchins have not responded to requests for comment on the matter.
As the legal battle unfolds, the fate of JENNER memecoin hangs in the balance, underscoring the risks associated with celebrity-backed tokens. Stay tuned for more updates on this evolving story.
