TradeAI/Stakx Ponzi scheme case was rejected, involving US$440 million

Judge Lewis Kaplan of the Federal Court for the Southern District of New York ruled that the defendant's motion to dismiss the TradeAI/Stakx case was dismissed and the case would move forward.<br /> The case was filed by cryptocurrency law firm BurwickLaw, accusing multiple defendants of using NFT and cryptocurrency investment pools as carriers to operate a suspected Ponzi fraud plan and promise high returns to investors. Currently, the estimated loss has exceeded US$20 million, and the total involved is approximately US$440 million. The court rejected all the defendants 'defenses in terms of jurisdiction, venue of litigation and service procedures.<br /> In response to the defendant Cyrus Abraham's refusal to respond to the lawsuit on the grounds that there were technical flaws in the service procedure, the judge clearly pointed out that the litigation procedure was not a game of hide-and-seek and required Abraham to disclose his current residential address to the plaintiff's law firm before March 31, otherwise he would face a default judgment and further sanctions. The court also extended the official service deadline to April 22 and has allowed alternative methods such as Ethereum wallet, email and social media to serve legal documents.