Burwick Law Files Class-Action Lawsuit Against LIBRA Token Entities

Burwick Law has initiated a class-action lawsuit against KIP, Meteora, and Kelsier, alleging deceptive practices tied to the LIBRA token launch. The lawsuit contends that these entities manipulated LIBRA’s price, resulting in significant financial losses for retail investors. Kelsier Ventures’ CEO, Hayden Davis, is currently facing an arrest warrant, intensifying the scrutiny surrounding LIBRA’s rollout.

Ask Aime: What impact does Burwick Law's class-action lawsuit against KIP, Meteora, and Kelsier have on the LIBRA token and retail investors?

This legal action marks a significant move by Burwick Law, which has previously pursued similar cases against entities involved in the Hawk Tuah and Pump.fun projects. The firm filed the class-action lawsuit on March 15, 2025, in the Supreme Court of New York, alleging misconduct by Kelsier, KIP, Meteora, and other involved parties. The lawsuit highlights concerns about the legitimacy of the LIBRA launch and the alleged deceptive tactics used during the process, including claims of a pump-and-dump scheme that adversely affected retail investors.

The principal entity associated with the LIBRA token is KIP Protocol, a project pitched as a Web3 AI-based layer. However, KIP has publicly denied involvement in any wrongdoing concerning the LIBRA token launch, asserting it merely acted as a managerial agency for financing. Meteora, a crypto exchange with a significant role in launching LIBRA, faced backlash following the scandal. Although the co-founder resigned shortly after the launch, they maintained their innocence, attempting to disentangle their reputation from the fallout caused by LIBRA.

Kelsier Ventures, the market maker for LIBRA, appears most exposed to potential lawsuits. CEO Hayden Davis, despite his recent admissions of past misconduct, is under considerable pressure as an arrest warrant for him suggests severe discrepancies in his operations. Additional claims have surfaced involving Fernando Molina, a data engineer, who indicated that there might have been attempts to launch other meme coins linked to Argentinian narratives before LIBRA. These connections involve shared liquidity pools and investor wallets, casting a wider net of suspicion on the motives behind LIBRA’s creation.

This ongoing situation raises pertinent questions surrounding the implications of such meme coin endeavors on the broader cryptocurrency market. The outcome of Burwick Law’s lawsuit could set a precedent for future regulatory actions against similar projects that potentially engage in deceptive practices. The LIBRA class-action lawsuit brings critical attention to the vulnerabilities within the meme coin market, targeting key players and practices that may mislead investors. As Burwick Law continues its pursuit of justice for affected retail investors, it emphasizes the necessity for accountability in the rapidly evolving world of cryptocurrencies.