<ul><li>A California-based investor is accusing Michael Saylor’s Strategy and its officials of breaching federal securities laws by making false and misleading statements, according to a complaint filed in the U.S. District Court for the Eastern District of Virginia.</li><li>The lawsuit claims that Strategy had not disclosed the exaggerated anticipated profitability of its Bitcoin investment strategy and the magnitude of losses it could incur on its digital assets, after adopting fair-value accounting standards.</li><li>The filing names Strategy's CEO, Phong Le, and CFO, Andrew Kang, as litigants. The company stated that it plans to vigorously defend itself against the allegations but cannot estimate the costs associated with the legal proceedings at this time.</li><li>Strategy, led by Michael Saylor, started accumulating Bitcoin in 2020 and currently holds around 576,000 Bitcoins worth an estimated $60.6 billion. The company faced a significant loss in the first quarter due to a decline in the value of its Bitcoin holdings, after adopting fair-value accounting standards.</li></ul>

Michael Saylor’s Strategy Faces Lawsuit Over Misleading Bitcoin Claims

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