Sign In
Step 1
Unite with Fellow Investors
Step 2
Choose the Best Attorney
Step 3
Provide Documents
Step 4
Follow Case Progress
Step 5
Get Payout
LGB.US
id: 1546

LGBCoin (LGBCOIN Token) Fraud and Pump-and-Dump Case

The court has ruled on whether the plaintiffs are certified as a class.
M.D. Florida
Court
6:22-cv-00652
Case number
11/04/2021
Class period Start
03/15/2022
Class period End

  • LGBCOIN investors filed a claim against LGBCoin, LetsGoBrandon.com Foundation, and related individuals for promoting and dumping worthless crypto tokens.

  • After celebrity-backed promotions and a failed NASCAR sponsorship, the value of $LGBCOIN plummeted, leaving investors with near-worthless tokens.

  • $LGBCOIN investors can join this case to be notified about potential recovery.

Case Description:

Between October 2021 and March 2022, the hedge fund manager James Koutoulas, Patrick Horsman, the LetsGoBrandon.com Foundation, LGBCoin, and NASCAR allegedly engaged in a fraudulent scheme involving the launch and promotion of the LGBCoin cryptocurrency token. The token was marketed as a politically themed digital asset inspired by the viral “Let’s Go Brandon” slogan, which gained popularity following a misinterpreted NASCAR interview on October 2, 2021.

Soon after, Koutoulas and co-founders collaborated with cryptocurrency promoters and NASCAR driver Brandon Brown’s racing team, Brandonbilt Motorsports (BMS), to give LGBCoin credibility and visibility. Although NASCAR officials had reportedly declined to approve the sponsorship, LGBCoin and BMS announced on December 30, 2021 that LGBCoin would be the primary sponsor for Brown’s 2022 NASCAR Xfinity Series season.

The announcement triggered a sharp price surge, with LGBCoin reaching a market cap of over $570 million on January 1, 2022. However, just days later, on January 5, 2022, NASCAR publicly stated it had not approved the sponsorship, prompting a swift collapse in LGBCoin’s value.

Based on these events, $LGBCOIN investors filed a claim against LGBCoin Ltd. and its promoters, accusing the company of the following:

  • They falsely promoted LGBCoin as a legitimate, NASCAR-backed crypto project to gain investor trust.

  • They coordinated a pump-and-dump scheme, inflating the token’s value and selling off large holdings for personal gain

Considering all the representations, investors believe they were misled about LGBCoin’s utility, partnerships, and overall legitimacy.

Case Status
Class Certification result
Alleged Offence
Misleading Statements, 
Fraud, 
Failure to Disclose
Suspected Party
Directors, 
Management
Security Type
Crypto Asset
Trade Direction
Long
Shock Event Date
01/05/2022
Filing date
04/01/2022
Judge
Paul G. Byron