Burwick Law Files Class Action Against Kelsier Ventures Over $LIBRA Token Launch

• Burwick Law files a class-action suit against Kelsier Ventures, KIP Protocol, and Meteora over deceptive conduct in $LIBRA token launch, causing retail losses.
• Defendants allegedly manipulated $LIBRA token prices by withholding 85% of supply and using deceptive liquidity strategies, leading to a 94% price crash.
• Burwick Law seeks compensation for investors and injunctions to prevent future fraudulent practices in cryptocurrency token launches.

Burwick Law has filed a class-action suit through the Supreme Court of New York against Kelsier Ventures, KIP Protocol and Meteora alleging deceptive conduct during the $LIBRA token launch. The firm supports retail investors who suffered financial losses after defendants deceived them during the product launch. The legal complaint asserts that the defendants schemed to roll out their token launch designed to benefit insiders while disadvantaging everyday investors.

This complaint reveals how the developers deployed a single-sided liquidity pool strategy to artificially raise token prices. During the token launch the defendants withheld 85% of the available supply while letting insiders dominate token prices. The defendants conducted price manipulation by withdrawing large quantities of stable assets like USDC and SOL, which led to a 94% price downfall of $LIBRA when it entered public trading.

Allegations of Misleading Marketing and Investor Deception

According to the lawsuit, the defendants presented $LIBRA as a project supporting Argentina’s economic recovery by funding small businesses and educational investments.  President Javier Milei provided his support to a marketing effort that strengthened the $LIBRA campaign. Retail investors suffered losses as the complaint denounced untruth marketing alongside a profit-making scheme carried out by the defendants.

Burwick Law contends that the defendants used hidden liquidity procedures alongside supply restrictions to mislead token buyers substantially. These deceptive methods restricted investors from obtaining details that would affect their investment choices. Many retail investors incurred major financial setbacks due to the token’s price decline after insiders made withdrawals of the tokens.

Legal Action Seeks Compensation

Through the class action lawsuit the complainant asked for financial reimbursement and further penalties for all investors who sustained losses. Burwick Law has petitioned the court for injunctions to stop these fraudulent tactics in future token transactions. The firm plans to investigate the case further because the organization aims to protect retail investors from future fraudulent deception in cryptocurrency trading.