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Block, Inc. Sued for Securities Law Violations - Investors Should Contact Levi & Korsinsky Before March 18, 2025 to Discuss Your Rights - XYZ

1. Block investors notified of a lawsuit alleging securities fraud. The claim spans February 26, 2020 to April 30, 2024. 2. Lawsuit cites years-long compliance lapses at Square and Cash App. Allegations include false statements and concealed risks. 3. Complaint claims facilitation of illegal transactions and fake account creation. It warns of reputational harm and adverse regulation. 4. Investors are urged to act by March 18, 2025. Participation incurs no cost and can lead to compensation.

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FAQ

Why Bearish?

The lawsuit introduces significant legal and reputational uncertainty which could depress investor confidence. Similar class action cases, such as those seen in other fintech firms, have historically led to short-term price declines.

How important is it?

The severity of the allegations, potential regulatory actions, and investor uncertainty suggest a strong likelihood of impacting XYZ’s price, at least in the short term.

Why Short Term?

Legal proceedings like this often trigger near-term volatility due to investor uncertainty. Past events indicate immediate market reactions until further resolution or regulatory clarity emerges.

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XYZ
NEW YORK, Feb. 25, 2025 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Block, Inc. ("Block" or the "Company") (NYSE: XYZ) of a class action securities lawsuit. CLASS DEFINITION: The lawsuit seeks to recover losses on behalf of Block investors who were adversely affected by alleged securities fraud between February 26, 2020 and April 30, 2024. Follow the link below to get more information and be contacted by a member of our team: https://zlk.com/pslra-1/block-inc-lawsuit-submission-form-2?prid=131748&wire=4 XYZ investors may also contact Joseph E. Levi, Esq. via email at [email protected] or by telephone at (212) 363-7500. CASE DETAILS: The filed complaint alleges that defendants made false statements and/or concealed that: (a) Block had engaged in widespread and years-long compliance lapses at Square and Cash App, including by failing to conduct basic due diligence regarding its customers' identities or the nature of customer transactions so as to prevent the platforms from being used for illegal or illicit activities; (b) Block had effectively created a haven for widespread illegal and illicit activities on its Square and Cash App platforms by imposing minimal obligations on customers seeking to open accounts, transact, and deposit or withdraw funds; encouraging the use of bitcoin; and pressuring the Company's banking partners to forgo ordinary know your customer due diligence activities; (c) thousands of transactions on Square and Cash App were made in connection with a wide variety of illegal and illicit activities, including, inter alia, money laundering, child sexual abuse, sex trafficking, drug trafficking, terrorism financing, contract killings, and illicit payments to entities and persons subject to economic sanctions; (d) Block allowed its customers to withdraw funds even after the accounts had been flagged for potentially illegal or illicit activities; (e) Block customers could open up multiple accounts using fake identities in order to engage in illegal or illicit activities; (e) Block customers could open up multiple accounts using fake identities in order to engage in illegal or illicit activities; (f) Block's senior leadership and the Board had failed to correct identified compliance deficiencies despite numerous red flags, internal employee reports of deficiencies, and customer complaints; (g) Block's Cash App user metrics had been artificially inflated through the use of fake accounts and the ability of criminals and other bad actors to open multiple accounts; and (h), as a result of (a)-(g) above, Block was subject to a material, undisclosed risk of its conduct being exposed, thereby exposing the Company to reputational harm, adverse regulatory actions, the loss of business activity, and adverse impacts to the Company's operations and financial results. WHAT'S NEXT? If you suffered a loss in Block during the relevant time frame, you have until March 18, 2025 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff. NO COST TO YOU: If you are a class member, you may be entitled to compensation without payment of any out-of-pocket costs or fees. There is no cost or obligation to participate. WHY LEVI & KORSINSKY: Over the past 20 years, the team at Levi & Korsinsky has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. Our firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report as one of the top securities litigation firms in the United States. CONTACT:Levi & Korsinsky, LLP Joseph E. Levi, Esq.Ed Korsinsky, Esq.33 Whitehall Street, 17th FloorNew York, NY 10004[email protected]Tel: (212) 363-7500Fax: (212) 363-7171www.zlk.com SOURCE Levi & Korsinsky, LLP

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