Nvidia Faces SEC and DOJ Action Over Alleged Misrepresentation of Crypto Revenue
Nvidia's Crypto Revenue Controversy
In a surprising legal development, the U.S. Department of Justice (DOJ) and Securities and Exchange Commission (SEC) have taken significant steps regarding Nvidia (NASDAQ: NVDA). Allegations suggest that the tech company may have misrepresented over $1 billion in revenue linked to cryptocurrency.
Background of the Case
The initial lawsuit was filed in 2018 but was dismissed by a district court in 2021. The Ninth Circuit Court of Appeals revived the case in August 2023, leading Nvidia to appeal to the Supreme Court, with initial arguments scheduled for November 13.
Federal Agency Involvement
Federal agencies have now become involved, advising the Supreme Court to proceed with the case. They argue that the evidence is substantial enough to not dismiss the allegations against Nvidia.
Stock Price Impact
As of recent trading, Nvidia shares are at $122.74, marking notable gains despite the evolving legal situation. Investors remain watchful as the case could serve as a significant market catalyst.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.