Cryptocurrency exchange Uphold HQ Inc. must face a proposed class action alleging that thousands of customers had their funds stolen from their accounts as a result of its inadequate security practices, a federal court ruled.
Theodore Rider, Jesse Smith, Gilles Boevi, and three other named plaintiffs claimed that Uphold failed to properly implement a two-factor authentication system for their accounts, which allowed unauthorized users to drain their funds.
Their lawsuit brought claims of negligence, negligent misrepresentation, breach of contract, breach of warranty, unjust enrichment, and violations of the federal Electronic Fund Transfer Act and the New York General Business Law. ...
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