PRACTICE AREA

Blockchain and
Cryptocurrency Fraud
and Loss Recovery

Blockchain technology and digital assets have transformed global finance and commerce. At the same time, the rapid growth of cryptocurrencies and decentralized finance has created fertile ground for misconduct—including fraud, misrepresentation, manipulation, and security failures that can cause substantial investor losses.

Taylor Copeland Law represents investors who have suffered significant financial harm in connection with digital assets and blockchain-related conduct, including cases where traditional regulatory enforcement is uncertain or unavailable.

Why This Practice Area Matters

The legal and regulatory landscape for blockchain and cryptocurrency continues to evolve rapidly. Federal and state authorities, including the Securities and Exchange Commission and Commodity Futures Trading Commission, are increasingly active in enforcement and litigation related to digital assets and exchanges. Courts also play a central role in interpreting how longstanding securities, commodities, and consumer protection laws apply to tokens, protocols, and trading platforms.

At the same time, new forms of misconduct—such as rug pulls, unauthorized exchange withdrawals, SIM swap attacks, and deceptive memecoin promotions—fall outside traditional enforcement tracks and often require private civil action to pursue investor recovery.

Scales of justice with legal books

Types of Matters We Handle

We evaluate and pursue claims involving:

Fraudulent Token Sales and ICO Misconduct

Misrepresentations and omissions in initial offerings, including false statements about use of proceeds, undisclosed insider allocations, failure to comply with securities laws and disclosure requirements, and failure to deliver promised technology or products.

DeFi Rug Pulls and Exit Scams

Sudden removal of liquidity, abandonment of protocols, and other conduct that leaves investors unable to recover their funds.

Market Manipulation and Promoter Misconduct

Coordinated pump-and-dump activity, undisclosed influencer compensation, and deceptive market tactics.

Exchange and Custodian Failures

Unauthorized account takeovers, inadequate security controls, and delayed or denied reimbursement for lost assets.

Account Security Breaches (SIM Swap / Identity Theft)

Losses resulting from compromised authentication methods that lead to account access and asset transfers.

Breach-related Digital Asset Theft

Losses linked to data breaches at exchanges, custodians, or affiliated service providers where compromised information leads to asset loss.

Representative Results

Our experience includes both public and confidential recoveries. We have been appointed lead or co-lead counsel in significant digital asset matters and achieved meaningful outcomes on behalf of investors, including:

Tezos ICO

We filed the first case alleging that the sale of pre-functional tokens through an ICO violated U.S. securities laws and obtained a $25 million settlement on behalf of investors in the ICO.

Centra ICO

We were appointed co-lead counsel and obtained a $33 million judgment against Centra Tech on behalf of investors in the ICO.

Voyager

We obtained a $6.5 million settlement on behalf of investors in Voyager’s VGX Token and its interest-bearing Voyager Earn Program.

Unikrn ICO

We brought a securities class action alleging that the sale of UKG violated U.S. securities laws. The case was resolved after Unikrn agreed to pay a $6.1 million penalty to the SEC to be distributed to investors in the ICO.

Ripple

We were appointed co-lead counsel in the ongoing securities class action alleging that Ripple Labs, its subsidiary, and its CEO violated state and federal securities laws by selling unregistered XRP token securities.

FAQs

What types of blockchain and cryptocurrency matters do you handle?

We evaluate matters involving cryptocurrency fraud and digital asset losses, including fraudulent token sales and ICO misconduct, DeFi rug pulls and exit scams, memecoin-related misrepresentations and market manipulation, exchange or custodian security failures, SIM swap and account takeover losses, and data breaches that lead to digital asset theft. The applicable legal claims depend on the facts, the parties involved, and the jurisdiction.

Do you handle rug pulls and DeFi exit scams?

Yes. These matters include sudden removal of liquidity, abandonment of protocols, and other conduct that leaves investors unable to recover their funds.

Do you represent investors in token sales and ICO-related claims?

Yes. We evaluate misrepresentations and omissions in initial offerings, including false statements about use of proceeds, undisclosed insider allocations, failure to comply with securities laws and disclosure requirements, and failure to deliver promised technology or products.

Can you help with SIM swap attacks and account takeovers that lead to crypto losses?

Yes. We evaluate losses resulting from compromised authentication methods that lead to account access and asset transfers, including unauthorized account takeovers and delayed or denied reimbursement.

Do you bring individual cases or class actions?

Both. The firm focuses on high-value individual claims and complex, class-action–scale matters, and has been appointed lead or co-lead counsel in significant digital asset matters.

What information should I preserve before contacting counsel?

Keep transaction screenshots, wallet addresses, exchange communications, whitepapers, and marketing materials, together with a description of what happened, the assets and platforms involved, and the approximate loss.

Do you work with investigators or blockchain tracing specialists?

We evaluate the strength and traceability of evidence, and the availability of viable defendants and applicable jurisdictions, when deciding whether a matter has a realistic path to recovery.

How quickly should I act after a crypto loss?

Request a confidential case review so the facts, available evidence, and the legal viability of potential claims can be assessed. Submitting information is secure and does not create an attorney-client relationship unless confirmed in writing.