In brief
- Investors have dropped a class-action lawsuit against Bitcoin giant Strategy, which accused the company of misleading shareholders about how new accounting rules would affect its profitability.
- The case centered on Strategy’s switch to fair value accounting, which let it mark Bitcoin’s price swings on its balance sheet.
- Critics said the firm overstated how much this change would boost earnings. Despite Bitcoin’s recent surge, Strategy reported a $4.22 billion loss in early 2025, sparking backlash.
Investors in Bitcoin behemoth Strategy have dismissed a class-action lawsuit against the company for allegedly making false and misleading statements about its profitability.
The suit was initially filed in May, accusing the company—famous for pivoting from software development into a full-time strategy of Bitcoin accumulation—of misleading investors about the impact new crypto accounting practices would have on its profitability.
This year, Strategy, which currently owns over
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Author: Sander Lutz
