Caitlyn Jenner Faces Class-Action Lawsuit Over Alleged Securities Fraud in JENNER Memecoin

Caitlyn Jenner, the former Olympian and Fox News contributor, is facing a class-action lawsuit filed by investors who claim they were misled into purchasing her JENNER memecoin, resulting in significant financial losses. The lawsuit, filed on November 13, 2024, in a California federal court, alleges that Jenner and her manager, Sophia Hutchins, promoted the JENNER token as an unregistered security, violating federal and state securities laws.

The plaintiffs, including British investor Naeem Azad and Romanian investor Mihai Caluseru, reported losses of over $56,000 due to their investments in the JENNER token. They argue that Jenner’s public promotions and “false and misleading statements” about the token led them to make uninformed investment decisions. The lawsuit claims that if the token had been properly registered with the U.S. Securities and Exchange Commission (SEC), investors would have received more transparency and legal protections.

The JENNER token was initially launched on the Solana blockchain in May 2024 through the Pump.fun memecoin platform. However, the project quickly ran into controversy after Jenner and other promoters accused collaborator Sahil Arora of fraud. Following these allegations, Jenner migrated the token to the Ethereum blockchain, a move that did not prevent the token’s value from plummeting. By November 13, 2024, the token’s market capitalization had dropped from nearly $7.5 million to just $170,000, with a mere $1.80 in daily transactions.

The lawsuit also alleges that Jenner failed to disclose key risks associated with the token, including the impact of Arora’s liquidation of his holdings and a 3% transaction tax imposed on Ethereum transactions. This tax is claimed to have benefited Jenner while further diminishing the value of the token for investors. Additionally, the suit contends that Jenner used proceeds from the JENNER token to finance exchange listings and pledge buybacks without providing adequate disclosure to investors.

Despite the project’s failure and the significant decline in trading volume, Jenner has continued to make occasional comments about the project. In September 2024, she mocked a person who had lost their life savings investing in JENNER, stating, “We aren’t going anywhere,” even though the project appears to have been largely abandoned.