Hut 8 Reaches $2.35 Million Settlement in Investor Lawsuit Related to US Bitcoin Merger

CoinFeed June 23 news, according to The Block, Hut 8 has agreed to pay approximately $2.35 million to settle a securities class action lawsuit related to its 2023 all-stock merger with U.S. Bitcoin Corp (USBTC). The lawsuit alleged that Hut 8 failed to adequately disclose energy and network risks at the King Mountain Bitcoin mining joint venture facility in Texas in the merger documents, and misrepresented USBTC's financial condition. The court had previously dismissed most of the investors' claims based on USBTC's financial statements, retaining only the Securities Act claims regarding insufficient disclosure of infrastructure risks at King Mountain.