Home » Veritaseum sues Coinbase for $350m over infringement

Veritaseum sues Coinbase for $350m over infringement

26th Sep 22 11:26 am

Veritaseum Capital LLC is suing Coinbase Global on allegations that the latter infringed on a patent that was awarded to Reggie Middleton, the founder of Veritaseum, CoinDesk wrote, citing Reuters.

Plaintiffs ask for at least $350m in damages

Veritaseum has claimed a minimum of $350 million in damages, accusing the crypto exchange of using the patent for blockchain development. They filed the lawsuit on September 23 in Delaware.

Reggie paid $9.5m in SEC settlement

In late 2019, the US Securities and Exchange Commission (SEC) and the founder of Veritaseum reached a settlement, where the defendant agreed to pay around $9.5 million.

The SEC found that Middleton was obliged to pay prejudgment interest and disgorgement of $8.47 million in addition to a $1 million civil penalty.

Veritaseum misled investors

The issue at hand was a controversial ICO involving the VERI token, in which Middleton managed to raise $14.8 million. Allegedly, Middleton raised these funds without a SEC registration and lied to investors, using this false information to make more money.

In all fairness, Coinbase has also had problems with SEC.

Leave a Comment

You may also like