On July 8, 2025, the Portnoy Law Firm of the United States officially filed a class action lawsuit against Strategy (stock codes: MSTR, STRK, STRF) – a company listed on the Nasdaq and known for its strong investment strategy in Bitcoin. The lawsuit represents investors who purchased securities of Strategy during the period from April 30, 2024, to April 4, 2025.
According to the announcement, Portnoy Law Firm alleges that Strategy exaggerated the profit potential of its Bitcoin investment strategy while downplaying the associated risks. This is said to have led investors to misunderstand the nature and level of risk in the company's financial direction, consequently resulting in inaccurate investment decisions.
Previously, two other well-known law firms in the United States, Frank R. Cruz and Pomerantz, also filed lawsuits against Strategy with the same allegations of providing misleading information to investors during the same period from late April 2024 to early April 2025. The lawsuits focus on accusations that the company made misleading statements regarding the effectiveness of its Bitcoin accumulation strategy.
Strategy is currently one of the largest holders of Bitcoin in the world and frequently attracts the attention of cryptocurrency investors. However, the legal actions from several reputable law firms may create significant pressure on the company's management in the near future.
