Nvidia Crypto Lawsuit Proceeds After Supreme Court Ruling
The U.S. Supreme Court has rejected Nvidia’s appeal, allowing a shareholder lawsuit over the company’s cryptocurrency revenue to proceed.
The lawsuit accuses the company of misleading investors about its reliance on Cryptocurrency Mining Revenues before the market fell sharply.
Nvidia encryption lawsuit could go to trial in 2025
of court Decide At a hearing in November, the justices Question whether the case raises legal issues The amount is large enough to warrant intervention by the Supreme Court.
In the lawsuit, shareholders claim that during 2017 and 2018, Nvidia CEO Jensen Huang concealed the extent to which Nvidia’s record revenue growth relied on sales of its GeForce GPUs for cryptocurrency mining rather than gaming.
However, Nvidia argued that the cryptocurrency lawsuit lacked sufficient details to advance to the evidence-gathering phase of the legal process.
according to BloombergThe shareholder’s legal representative called the decision a “major victory for corporate responsibility.” The lawsuit will now continue in federal district court in Oakland, California.
When the cryptocurrency market collapsed in 2018, Nvidia faced a major challenge. In November of that year, the company disclosed that its revenue fell short of expectations. This caused Nvidia’s stock price to plummet more than 28% in two days. Huang attributed the shortage to “crypto hangover“.
Despite these legal challenges, Nvidia stock It has soared nearly 190% so far this year. This is driven by strong demand for its GPUs Bitcoin mining. The company’s 4000 series GPUs surpassed AMD in profitability rankings and gained significant market share.
In its latest financial report, Nvidia announces revenue growth of 95% year-over-year It reached $35.1 billion in the third quarter. Its data center business grew 111%, with fourth-quarter revenue expected to reach $37.5 billion.
Earlier this year, NVIDIA’s market value exceeds US$3 trillion market capitalization. The surge propelled the company past Apple and set a new benchmark for the tech industry.
In addition, NVIDIA is committed to diversifying its business beyond gaming and Cryptocurrency Mining. In July, the company revealed plans to provide infrastructure for: The next generation of humanoid robots.
Disclaimer
follow trust project BeInCrypto is committed to fair and transparent reporting. This news article is designed to provide accurate and timely information. However, readers are advised to independently verify the facts and consult a professional before making any decisions based on the content of this article. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
