The firm and its partners have deep experience in handling civil and white-collar disputes involving fintech and cryptocurrencies, such as Bitcoin and Ethereum. Fintech is upending the world of traditional finance, and Waymaker is proud to be part of the revolution. Waymaker’s fintech practice group is nationally recognized by Chambers in Band 1 for Crypto-Asset Disputes and Band 3 for FinTech Legal: Blockchain & Cryptocurrencies.
We regularly represent financial technology entrepreneurs and companies (from the smallest start-ups to fast-growing industry leaders) located in the United States and abroad. The firm has handled some of the first and most prominent fintech cases before federal regulators like the SEC and CFTC, and in federal courts around the country. For example, the firm represented Arthur and Kathleen Breitman in connection with two securities class action lawsuits involving the Tezos fundraiser, which raised approximately $230 million. We represented the digital token platform Kraken and its founder Jesse Powell in the first cryptocurrency antitrust case, in Miami federal court, which resulted in a dismissal, and also in the SEC’s lawsuit for operating an unregistered exchange, which was ultimately dismissed.
We have represented dozens of fintech clients, both individuals and companies, in state and federal criminal and regulatory investigations. Some cases have included allegations of unlicensed money transmitting businesses, money laundering, and alleged OFAC violations involving cryptocurrencies. Our adeptness in understanding this new technological landscape has often assisted us in securing resolutions that result in no charges being instituted and no penalties, including fines or forfeiture, being assessed. Having had the opportunity to advocate before law enforcement officials in numerous jurisdictions throughout the United States, including top fintech regulators at the SEC and CFTC, we have not only a broad base of experience, but substantial national credibility, in advocating for clients. We fight for clients wherever the fight takes us.
Notable Engagements:
- Crypto Assets Opportunity Fund v. Block.one
Defended Block.one against allegations that it violated securities laws in connection to its $4 billion token sale, the largest in history. The action was successfully settled at $22 million on a class-wide basis at a fraction of the amount in dispute.
- Kowalski v. Binance Holdings, Ltd.
Won dismissal of various claims brought against the companies associated with the Kraken cryptocurrency exchange in Florida state court on personal jurisdiction grounds. The plaintiff alleged that Kraken had conspired with several other defendants (including users of the Kraken exchange) to steal, launder and dissipate more than $80 million worth of stolen bitcoin. After jurisdictional discovery, we obtained a dismissal of the claims against our clients for lack of personal jurisdiction. Plaintiff subsequently agreed to a dismissal with prejudice of all claims against our clients.
- Strange Brew Strategies, LLC v. Helium Systems, Inc.
Represented a plaintiff company in a breach of contract action arising out the defendant’s failure to deliver cryptocurrency tokens that had been promised as compensation for our client’s services. We defeated a motion for summary adjudication and reached a favorable settlement within weeks of trial.
- Burton v. Adams
Obtained the dismissal of all claims brought by a plaintiff against the founder of Universal Navigation Inc. (known as Uniswap Labs) and the creator of the largest decentralized exchange protocol built on the Ethereum blockchain that facilitates automated cryptocurrency transactions. The plaintiff sought more than $100 million in damages on contract and equitable claims. The Court granted Waymaker’s motion to dismiss the contract claims and plaintiff later agreed to dismiss all remaining claims with prejudice for no compensation.
- Free Holdings Inc. v. McCoy
Represented the purchaser of Kevin McCoy’s Quantum (often regarded as the first-ever NFT) in in an action brought by a plaintiff against our client, famed auction house Sotheby’s and other defendants. The plaintiff alleged that it was the owner of the “first-ever NFT.” We negotiated an early dismissal of the claims against our client.
- United American Corp. v. Payward Ventures, Inc.
Won a victory in the nation’s first crypto antitrust case for the operator of the Kraken cryptocurrency exchange and its CEO. In this action, plaintiff alleged that our clients conspired with other entities and individuals in violation of Section 1 of the Sherman Act and engaged in a bid rigging scheme and a group boycott. Adopting our arguments on a motion to dismiss, the court threw out the case in its entirety.
- In the Matter of Block.one
Represented Block.one before the SEC in New York, reaching a landmark settlement related to Block.one’s unregistered initial coin offering (ICO) of digital tokens that raised the equivalent of several billion dollars
- United American Corp. v. Bitmain
Represented the digital token platform Kraken and its founder Jesse Powell in the first cryptocurrency antitrust case, in Miami federal court.
- In Re Tezos Securities Litigation
Represented Arthur and Kathleen Breitman in connection with two securities class action lawsuits involving the Tezos fundraiser, which raised approximately $230 million.
- In re Hashfast Technologies
Represented a professional in the first cryptocurrency bankruptcy case in a fight over thousands of bitcoins, and secured a very successful settlement for the client. The case was based out of federal bankruptcy court in San Francisco.