Cryptocurrency Fraud Lawsuit Against Mark Cuban and Dallas Mavericks Gets Dismissed

A major legal chapter has closed for Mark Cuban and the Dallas Mavericks organization. A class-action lawsuit that had accused the prominent entrepreneur and the basketball team of misleading investors regarding Voyager Digital—the cryptocurrency lending platform that collapsed under financial pressure—has been dropped by the courts.

The litigation centered around allegations that Mark Cuban made multiple misleading statements promoting Voyager before the platform’s Chapter 11 bankruptcy filing in 2022. At the time of its failure, Voyager Digital held approximately $1.3 billion in cryptocurrency assets, all of which became inaccessible to users overnight.

The Broader Collapse of the Crypto Market

Voyager’s implosion didn’t occur in isolation. The platform’s downfall was directly connected to the spectacular crash of the Terra blockchain ecosystem, which erased roughly $400 billion in total cryptocurrency market capitalization. This cascading collapse sent shockwaves throughout the entire digital asset space, with retail and institutional investors suffering massive losses.

The Terra disaster became emblematic of the 2022 crypto winter, exposing systemic risks and questionable practices within the ecosystem. The fallout extended beyond market losses—Terra’s founder, Do Kwon, faced serious legal consequences for his role in the collapse, ultimately receiving a 15-year prison sentence that was handed down at the start of 2025.

What This Dismissal Means

With the lawsuit against Mark Cuban and the Dallas Mavericks now dismissed, the legal pressure on the entrepreneur and organization diminishes. However, the incident serves as a reminder of how high-profile figures and institutions can become entangled in the volatility of the cryptocurrency sector, particularly when they publicly endorse platforms that later fail.