TechFlow, July 3 — On July 2, 2025, U.S. law firm Pomerantz announced it has filed a class-action lawsuit against MicroStrategy (Nasdaq: MSTR) and certain of its executives. The lawsuit alleges that the company misled investors between April 30, 2024, and April 4, 2025, by failing to adequately disclose the risks associated with its "Bitcoin reserve company" strategy.
The complaint claims that after adopting the new accounting standard ASU 2023-08, MicroStrategy underestimated the substantial losses that could result from Bitcoin price volatility. On April 7, 2025, the company disclosed approximately $5.9 billion in unrealized losses due to Bitcoin depreciation during the first quarter, causing its stock price to drop 8.67% that day, closing at $268.14 per share.
Investors who purchased or acquired MicroStrategy securities during the specified period may apply to the court to serve as lead plaintiff by July 15, 2025. The class action has been filed in the U.S. District Court for the Eastern District of Virginia, case number 25-cv-00861.
