A US District Judge has certified a class-action lawsuit against Nvidia and its CEO, Jensen Huang, over allegations that the company misled shareholders about its 2017-2018 crypto-mining revenues.
The case, which was filed by investors, centers around the concept of 'price impact,' or whether Nvidia's statements affected its share price. The judge's decision allows the lawsuit to proceed as a group, but emphasizes that it does not address the merits of the case.
According to court documents, Nvidia presented its gaming revenue during the 2017-2018 crypto-mining boom as sustained gamer demand, when in fact it was largely driven by crypto miners. The company allegedly understated its share of revenues derived from sales of its GPU products to crypto miners.