US Court Clears Path for NVIDIA Investor Lawsuit Over Crypto Revenue Disclosures

A US federal court has granted class certification to a group of investors who purchased NVIDIA stock between August 2017 and November 2018, a period marked by surging cryptocurrency prices and demand for high-performance graphics processing units (GPUs).

The lawsuit claims that NVIDIA misled investors about the extent to which its sales of gaming GPUs relied on crypto mining during this time. The plaintiffs argue that the company repeatedly indicated in filings that crypto-related revenue was minor, while a significant portion of sales actually came from miners using GeForce gaming GPUs.

While the ruling does not determine the existence of liability, it allows investors to proceed with the lawsuit as a collective, increasing the amount at risk and speeding up the case's progress towards trial. The court also denied NVIDIA's motion to exclude expert testimony related to damages.