Midnight Hub (Rooms.TV) NFT Fraud Case

The defendant has requested the court to dismiss the case.

N.D. California

Court

3:24-cv-07704

Case number

01/15/2023

Class period Start

03/31/2024

Class period End

02/28/2025

Lead Plaintiff motion deadline

Investors sued Midnight Hub, claiming the company misled them by selling NFTs as profitable investments for a Web3 platform that was never built.
After the arrest of co-founder Brian Veluz-Nepomuceno for fraud in November 2024, the value of the NFTs plummeted to near zero.
Midnight Hub investors can join this case to be notified about potential recovery.

Case Details:

On January 15, 2023, Midnight Hub started selling ROOMS NFTs, promoting them as part of a Web3 platform that would offer rewards like staking, exclusive features, and profit-sharing.

By October 25, 2023, they added Digital Nomads NFTs, claiming that owning both types would unlock even more rewards, including future revenue sharing.

But by late 2023, it became clear these promises were empty. The company hadn’t made any real progress on the platform and stopped providing updates.

On November 8, 2023, Midnight Hub sent its last message before going silent. Soon after, the NFTs lost almost all their value.

Based on these events, Midnight investors filed a lawsuit against Midnight Hub, accusing the company of the following:

It misrepresented the future of its Web3 project to entice NFT purchases.
It promised profit-sharing and benefits without any plan or means to deliver.

Investors believe Midnight Hub misled them by making big promises about its Web3 platform without any real plan to deliver.

Case Type

US Securities Class Action

Case Status

Motion to dismiss

Alleged Offence

Misleading Statements,

Financial Misrepresentation,

Fraud,

Failure to Disclose

Suspected Party

Directors,

Management

Security Type

Crypto Asset

Trade Direction

Long

Shock Event Date

11/08/2023

Filing date

11/05/2024

Lead Plaintiff Deadline

02/28/2025