Pump.fun Hires Top Crypto Lawyers as Class Action Lawsuit Grows to 500+ Investors

Sean Williams
pump.fun

Key Takeaways

  • Baton Corporation has hired top crypto litigation experts, including former SEC investigator Daniel L. Sachs, to strengthen its defense against Burwick Law’s expanding class action lawsuit targeting Pump.fun.
  • Burwick Law’s legal campaign against Pump.fun now involves over 500 investors and is part of a broader crackdown that includes lawsuits against other crypto platforms like BULLX and DexScreener.

Pump.fun’s parent company, Baton Corporation, is ramping up its legal defense as pressure mounts from an escalating class action Lawsuit led by New York-based Burwick Law. According to recent reports, Baton has enlisted a team of high-profile attorneys from international law firm Brown Rudnick, including renowned crypto litigation expert and former SEC investigator Daniel L. Sachs.

The strategic move aims to bolster Baton’s defense against a growing wave of legal challenges. The battle began earlier this year when Burwick Law filed its first class action lawsuit against Pump.fun in January, accusing the platform of violating U.S. securities laws and artificially inflating token prices for personal gain. The lawsuit alleges that these practices misled investors and led to substantial financial losses.

Soon after, Burwick filed a second, broader complaint, expanding the case to include Pump.fun’s co-founders, Baton Corporation, and other key project figures. The legal documents also allege that the platform engaged in efforts to intimidate and obstruct the legal process. Notably, Burwick’s CEO accused Pump.fun of facilitating fraudulent fundraising by allowing tokens allegedly tied to his family to be launched on the platform.

Tensions escalated further in recent weeks following the sudden suspension of Pump.fun’s official X account and that of co-founder Alon Cohen. The takedown reignited Burwick’s public campaign, with the firm posting soon after to urge more affected investors to join the class action. The lawsuit has now attracted over 500 participants, underscoring the growing scrutiny surrounding the platform.

This legal saga, however, extends beyond Pump.fun. Burwick Law has also launched similar lawsuits against several comparable platforms, including BULLX, DexScreener, and GMGN, highlighting a broader crackdown on certain practices within the crypto token market.

With Daniel L. Sachs and other seasoned attorneys now on board, Baton Corporation appears poised to mount a robust legal defense. Industry observers will be closely watching how these legal battles unfold, as they could set significant precedents for crypto token platforms operating in the U.S.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses

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