Scott+Scott is representing investors in a class action lawsuit against Safemoon LLC and corporate affliates, Braden John Karony, Jack Haines-Davies, Ryan Arriaga, Shaun Witriol, Henry “Hank” Wyatt, Thomas Smith, and celebrity promoters Jake Paul, Nick Carter, DeAndre Cortez Way, Ben Phillips, Miles Parks McCollum, and Daniel M. Keem.

Safemoon investors were fraudulently induced to purchase Safemoon “V1” tokens. The developer and company insiders behind Safemoon used celebrity influencers to promote Safemoon’s favorable tokenomics and future growth prospects to retail investors. This marketing scheme capitalized on the influence and trust in the celebrity promotors to attract investors and induce them to purchase the Safemoon V1 tokens at artificially inflated prices. After luring in unsuspecting investors, the insiders and promoters cashed out millions of dollars and left those investors with Tokens that had lost over 60% from the inflated price high in late April 2021. As a final blow to investors, the company implemented a 100% tax on any V1 token transactions while at the same time forcing investors to swap their V1 tokens to V2 tokens.

As Yahoo! News reported, “in the crypto world, SafeMoon has a less than stellar reputation. It came out to a bunch of hype last year and initially skyrocketed in value. . . . It appears that there simply isn’t much organic demand for anything related to the SafeMoon ecosystem.”