Silver Law Group Files Class Action Lawsuit Against Cryptsy and Its Principal Paul (“Big Vern”) Vernon

Silver Law Group (www.silverlaw.com), along with the law firm of Wites & Kapetan, P.A., has filed a nationwide class action lawsuit in federal court against Florida-based cryptocurrency exchange operator Cryptsy and its principal, Paul (“Big Vern”) Vernon.  Over the past several months, numerous Cryptsy account holders have been denied access to their accounts and have been deprived of any ability to properly protect their valuable assets amidst widespread reports of problems at the heart of Cryptsy’s business.  While reports have been swirling in multiple media outlets that Cryptsy’s future is greatly troubled and that the company might be under heavy regulatory scrutiny, many Cryptsy account holders have been unable to withdraw any and all forms of currency from their accounts.  Despite repeated inquiries to Cryptsy, users are being left without any meaningful response or information from Cryptsy and have had their withdrawal demands either denied or tabbed as “pending” for days, weeks, or even months.  Although the exact amount has yet to be calculated, it is believed the value of the digital funds being held captive at Cryptsy exceeds Five Million Dollars ($5,000,000.00).

The class action lawsuit is pending in the United States District Court for the Southern District of Florida under Case No. 9:16-cv-80060. As stated in the lawsuit, the class of victims pursuing relief includes “All Cryptsy account owners who deposited Bitcoins, alternative cryptocurrencies, or any other form of monies or currency at Cryptsy and have been denied access to their accounts and funds between November 1, 2015 and the present date.” The lawsuit asserts claims for negligence, unjust enrichment, conversion of funds and property, and violations of Florida’s Deceptive and Unfair Trade Practices Act.

If you have invested in Bitcoin or any other cryptocurrency and believe you are the victim of a fraud or a theft of your assets, you might have the grounds upon which to assert a claim to recover your losses. Additionally, if you have entrusted your cryptocurrency to Cryptsy or have traded through its web site and feel you have been misled, gather your metadata and contact Silver Law Group to find out what rights may be available to you.

Silver Law Group is a nationally-recognized securities law firm headquartered in South Florida, with satellite offices in New York and Washington, DC, representing investors worldwide with their claims for losses due to financial misconduct and investment firm negligence in securities litigation and arbitration matters. Scott L. Silver and David C. Silver both have Martindale-Hubbell® Peer Review Ratings™ of “AV” Preeminent for achieving the highest ethical and legal standards. The firm has successfully recovered multi-million dollar awards for its clients. To contact David C. Silver to discuss your legal matter, call toll-free (800) 975-4345 or e-mail him at dsilver@silverlaw.com.