Nvidia Faces Securities Fraud Class Action Lawsuit Over Cryptocurrency Business

Nvidia is currently facing a securities fraud class action lawsuit after investors alleged the company downplayed its dependence on volatile cryptomining-related revenues in 2017 and 2018.

The case, which has been ongoing for nearly eight years, centers around Nvidia's statements about its cryptocurrency business during this time period. Investors claim that the company's CEO, Jensen Huang, made false or misleading statements about the importance of crypto to Nvidia's revenue.

A federal judge recently granted class certification, but Nvidia is appealing this decision to the Ninth U.S. Circuit Court of Appeals. The company argues that the lower court misapplied U.S. Supreme Court precedent and erred in certifying the class without requiring plaintiffs to present a detailed model for calculating damages.