Bit Digital, Inc.

  • Active

Investigation
01/20/2021

Initial Lawsuit
01/20/2021

Lawsuit Progression
04/29/2021

Investigation

  • Continous Holding
    December 21, 2020 to January 8, 2021
  • Proposed Claim
    Securities Violation

Investigation regarding Bit Digital’s statements about its crypto currency business, notably the company’s number of miners and aggregate mining equipment.

Main Event

JCAP disagrees

01/11/2021

Research Report (Short)

Short-seller firm J Capital Research publishes a report alleging overstatement of Bit Digital’s mining operations, fraudulent bitcoin mining operations and fake purchases, partly causing the stock price to decrease 25% to close at $18.76 per share.

The stock impact compares the closing price immediately preceding the date of the event and the following closing price. The price difference also reflects the overall mix of information.

Stock Impact

Close Previous close Price variation Percentage variation
$18.76 $25.03 $-6.27 -25.05%
See more on Factual Timeline

Initial Lawsuit

Plaintiff brings this securities class action on behalf of persons and entities that purchased or otherwise acquired Bit Digital securities between December 21, 2020 and January 8, 2021, inclusive.

  • Filing Date
    01/20/2021
  • Class Period
    12/21/2020 to 01/08/2021
  • Transgression
    Securities Violation
  • Filing Firms
    Glancy Prongay & Murray LLP
    Law Offices of Howard G. Smith
  • Case Title
    Pauwels v. Bit Digital, Inc.
  • Docket Number
    1:21-cv-00515
  • Court
    New York Southern District Court
  • Free File
    Complaint

Allegations

According to the complaint, defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects. Specifically, defendants allegedly failed to disclose to investors:

(i) that Bit Digital overstated the extent of its a bitcoin mining operation;
(ii) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

Defendants

  • Company
    Bit Digital, Inc.
  • Chief Executive Officer
    Min Hu
  • Chief Financial Officer
    Erke Huang

Lawsuit progression

  • Docket Number
    1:21-cv-00515
  • Court
    New York Southern District Court

Lead Counsel

04/29/2021

The court issued an order appointing the lead plaintiff and lead counsel.

  • Lead Counsel
    Block & Leviton, LLP
  • Lead Plaintiff
    Individual
  • Free File
    Order for lead

Amended Complaint

07/06/2021

Lead plaintiff brings this securities class action brought on behalf of all investors who purchased or otherwise acquired Bit Digital, Inc. common stock between December 21, 2020 and January 11, 2021, inclusive.

  • Updated Class Period
    12/21/2020 to 01/11/2021
  • Free File
    Amended Complaint

    • Operative complaint

Motion to Dismiss

11/19/2021

A motion to dismiss was filed with the court.

[stockdio-historical-chart symbol=”BTBT” stockExchange=”NYSENasdaq” width=”500″ height=”330″ motif=”blinds” palette=”humanity” includeVolume=false]

Factual Timeline

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