The bankrupt cryptocurrency investment firm, Alameda Research, is seeking support from claimants who hold 10% of Grayscale’s Bitcoin Trust (GBTC) shares in its ongoing lawsuit against Grayscale and its parent company, Digital Currency Group (DCG).
Alameda has announced its intention to file an amended complaint against Grayscale, with the goal of adding additional plaintiffs who own at least 10% of the outstanding shares of the GBTC Trust. The company is currently in discussions with several unnamed GBTC shareholders who are willing to join as co-plaintiffs. However, Alameda has requested an extension of five days for these shareholders to confirm their participation and contribute to the amended complaints.
Recently, David Bailey, the CEO of Bitcoin Magazine, encouraged GBTC shareholders to join the lawsuit by registering on RedeemGBTC.com. He emphasized that the outcome of the lawsuit would have significant implications for all shareholders, determining whether they are treated as investors or held hostage to unfavorable practices.
Alameda lawsuit against Grayscale
Alameda initially filed the lawsuit against Grayscale in March, alleging that the company was benefiting itself unfairly at the expense of shareholders. The complaint cited Grayscale’s refusal to allow share redemption for underlying assets and raised concerns about its high sponsor fees being derivative.
In response to Alameda’s lawsuit, Grayscale moved to have it dismissed in May, arguing that the allegations should only be brought by at least two unaffiliated shareholders who own a minimum of 10% of the Trust’s shares.
GBTC’s discount to its net asset value (NAV) has recently widened to 30.11% after a period of narrowing earlier this month, as reported by ycharts data.
Additionally, Grayscale is currently embroiled in a legal dispute with the Securities and Exchange Commission (SEC) regarding the approval of its plan to convert its Bitcoin Trust into an exchange-traded fund (ETF).
