When it comes to cryptocurrencies, especially altcoins, anything can happen. FLiK Token was launched in August of 2017 by two big names in Atlanta, TI and businessman Ryan Felton. TMZ reported that the creators of FLiK are being sued by over two dozen investors who claim they were mislead about the potential for growth, and that they have lost everything they invested, which in some cases was all the money they had to their name.
The plaintiffs are suing for $5 million in damages, after allegedly losing $2 million in their FLiK investments after Felton made extravagant claims about the token’s future value. They say Felton also assured them that other celebrity endorsements, like Mark Cuban, were coming, which never happened. The only other celebrity endorsement other than TI was Kevin Hart, who in a tweet promoted the cryptocurrency while congratulating TI on the launch. Hart is not named in the lawsuit.
The other major issue highlighted in the lawsuit are Felton’s claims about how much FLiK Token’s value would rapidly increase. FLiK was first sold at six cents per token, but Felton assured investors that the price would rise to $14.99 per token after just 15 months, which also never happened.
FLiK did increase from six cents to 21 cents, but then the value (along with most other cryptocurrencies) plummeted to less than one cent per token. As a result, the investors are taking to court to try and recoup their losses and then some extra for the hassle.
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