Over the previous few years, we have seen quite a few hip-hop acts try and launch their very own cryptocurrencies together with T.I. who launched FLiK Tokens in 2017. Unfortunately, the enterprise enterprise hasn’t been figuring out too nicely and now, Tip and his enterprise companion are being sued for allegedly defrauding roughly two dozen buyers.
According to The Blast, T.I. and his enterprise companion are being sued by a gaggle of 25 buyers who claimed they invested $1.3M into the cryptocurrency enterprise. The buyers mentioned that Tip and the rapper’s enterprise companion in FLiK Tokens, Ryan Felton, utilized “social media, movie star endorsements, and well-known business specialists to create the misunderstanding that FLiK Tokens have been a invaluable liquid funding.” They claimed that T.I. and Felton appeared that Kevin Hart was going to be the brand new face of the corporate and even introduced that he’d be introduced on to FLiK as a “as proprietor of the enterprise.”
The lawsuit alleges that hiked up the value of the FLiK Tokens as soon as they received the cash from buyers earlier than they “dumped” their crypto-coins and vanished. They mentioned Felton created a brand new firm that he mentioned introduced FLiK “and speciously informed buyers that he had nothing to do with the brand new sham firm.”
They additionally mentioned, “Felton defined that the devaluation was precipitated, no less than partly, as a result of T.I. had given FLiK tokens to members of his household and buddies who had offered large quantities on coinexchange.com inflicting speedy devaluation.”
Now, the group of buyers are suing T.I. and Felton for securities fraud. They’re looking for a minimum of $5M in damages.