Sokolowski v. DCG Updates
Updates and documents related to the case: Sokolowski et al. v. Digital Currency Group, Inc. et al.
(Middle District of Pennsylvania 4:25-CV-00001-PJC)
"We will devote the rest of our lives to this effort. We will pursue every cryptocurrency fraudster until we win, exhaust all appeals, or die. There will be no other outcome."
The song Atlas In The Junkyard was inspired by the Defendants.
Court Documents
Sokolowski et al. v. Digital Currency Group, Inc. et al.
(Middle District of Pennsylvania 4:25-CV-00001-KM-PJC)
The primary action seeking to hold Digital Currency Group, Barry Silbert, and Michael Moro accountable for alleged misrepresentations regarding the solvency of Genesis Global Capital. This case argues that the defendants' actions constitute fraud and violations of consumer protection laws, leading to significant financial losses for the plaintiffs.
Reply in Support of Soichiro “Michael” Moro's Motion to Dismiss Plaintiffs' Amended Complaint
Defendant Moro replied, arguing that he cannot be held liable for a balance sheet provided to Plaintiffs a month after he resigned as CEO of Genesis, and that Plaintiffs failed to state a claim.
Reply Memorandum of Law in Support of Motion to Dismiss of Defendants Digital Currency Group, Inc. and Barry E. Silbert
Defendants DCG and Silbert replied, arguing that Plaintiffs lack standing because the claims were assigned to a third party, and that Plaintiffs' equitable estoppel arguments fail.
Plaintiffs' Memorandum Of Law In Opposition To Defendants' Motion To Dismiss
Plaintiffs responded to the dismissal motions, arguing (in part) that the Defendants are equitably estopped from asserting nearly all of their defenses due to their inconsistent conduct.
Memorandum of Law in Support of Soichiro "Michael" Moro's Motion To Dismiss Plaintiffs' Amended Complaint
Defendant Moro filed to dismiss the case, arguing that Plaintiffs filed to state a claim entitled to consumer protection relief, and that he was not subject to personal jurisdiction.
Memorandum of Law in Support of Motion To Dismiss Defendants Digital Currency Group, Inc. and Barry E. Silbert
Defendants Silbert and DCG filed to dismiss the case, arguing that Plaintiffs failed to state a claim entitled to consumer protection relief, and that they were not subject to personal jurisdiction.
Plaintiffs' First Amended Complaint
Plaintiffs' amended complaint alleges that the Defendants serially misrepresented Genesis Global Capital LLC as a safe and solvent service, signed a fraudulent promissory note, and that the Plaintiffs relied upon the misrepresentations. They seek for damages then valued at $26,070,000.
Connecticut Action
(District of Connecticut, Case 3:25-cv-00870-VAB)
A protective action filed in the District of Connecticut to toll the statute of repose. This case mirrors the allegations of the Pennsylvania action and has been requested to be stayed, pending the outcome of the primary litigation. The Plaintiffs have stated they will voluntarily dismiss this case if the Pennsylvania case achieves a ruling on the merits.
Plaintiffs' Motion To Stay Proceedings (Connecticut)
Plaintiffs requested that the Connecticut court indefinitely stay the proceedings there in favor of the first-filed action in Pennsylvania. Alternatively, they request that the court dismiss the case without prejudice, with leave to refile. They state their desire that the Pennsylvania court hear the case to the merits, and state they will voluntarily dismiss the case if they win or lose in Pennsylvania.
Plaintiffs' Complaint (Connecticut)
Plaintiffs filed an action in the District of Connecticut alleging the same facts as those litigated in the Middle District of Pennsylvania. The complaint's first section requests that the court stay or dismiss the case without prejudice, to toll the statute of repose.
New York Adversary Proceeding
(Southern District of New York, Case 25-01111-SHL)
Digital Currency Group filed an adversary proceeding in the Genesis bankruptcy case, arguing that the claims of the Sokolowskis and another Defendant, Vincent Falco, are derivative. The Genesis Wind Down Estate and the Sokolowskis request that the court dismiss the adversary proceeding.
Debtors' Motion To Enforce the Plan Against Digital Currency Group, Inc.
The Genesis Wind Down Estate argues that the adversary proceeding should be dismissed because the Estate has the sole authority to enforce its bankruptcy plan, and that Digital Currency Group lacks standing.
Memorandum of Law In Support of Motion For a Preliminary Injunction (Adversary)
DCG requested a preliminary injunction to temporarily halt the Pennsylvania and Connecticut actions while the adversary proceeding is adjudicated.
DCG's Complaint (Adversary)
Digital Currency Group filed a complaint, accusing the Sokolowskis and another Defendant, Vincent Falco, of asserting derivative claims that the Genesis Wind Down Estate has the sole authority to pursue. DCG seeks a permanent injunction to terminate the Pennsylvania and Connecticut actions.
Blog: Leveling The Playing Field
June Update: Discovering Discovery
Published: June 6, 2025This June update discusses how models' dramatic improvement has helped hold DCG, Silbert, and Moro accountable for their participation in the fraudulent scheme.
Announcement of the First o1 pro Guided Federal Litigation
Published: January 2, 2025The advent of artificial intelligence has leveled the playing field. In this case, it will allow justice to prevail.