Iris Energy faces a class action lawsuit for allegedly misrepresenting its data center capabilities for high-performance computing.
The lawsuit claims the company overstated its prospects and facilities' suitability for AI applications.
Iris Energy
Limited, the publicly listed Wall Street Bitcoin (BTC) mining company (NASDAQ:
IREN) that recently pivoted to promoting itself as a high-performance computing
(HPC) data center operator, is facing a class action lawsuit alleging it
misrepresented its capabilities and prospects to investors.
Wall Street Bitcoin Miner Faces
Lawsuit over Alleged Misrepresentation of Data Center Capabilities
The
lawsuit, filed
in the United States District Court for the Eastern District of New York,
claims that Iris Energy and its executives made false and misleading statements
about the company's ability to transition its facilities from Bitcoin mining to
HPC and artificial intelligence applications.
According
to the complaint, Iris Energy's Childress, Texas facility, which the company
touted as a key asset for its HPC strategy, lacks critical features necessary
for such operations. The lawsuit alleges that the site has inadequate power
redundancy, cooling systems, and fiber connectivity.
The accusers suggest that Iren's statements were allegedly untrue. Source: Courtlistener.com
The lawsuit
also cites statements made by Iris Energy's co-CEO, Daniel Roberts, who claimed
the company had “built this base layer, this bedrock of high-performance
data centers that can do any high-performance compute.” The plaintiffs
argue that these statements were materially false and misleading, “because the
Company overstated the capabilities of its data center business and its
overall prospects.”
Iris
Energy's stock price fell approximately 15% following the publication of a
critical report by Culper Research, which raised concerns about the company's
HPC claims and the suitability of its facilities for such applications.
“Culper
further stated that it was ‘short IREN because we believe the Company has
dramatically misrepresented the strength and potential of its assets for HPC/AI
Applications’,” the lawsuit commented.
IREN shares are falling more than 50% from the July 2024 highs. Source: Yahoo Finance
The class
action seeks to recover damages on behalf of investors who purchased Iris
Energy securities between June 20, 2023, and July 11, 2024, alleging violations
of federal securities laws.
Bitcoin Miners from Wall
Street Pivot to AI
IREN's
shift towards AI is driven by increasingly challenging conditions in the
cryptocurrency mining market. The company's latest fiscal year 2024 report
revealed that by adding AI industry support services to its offerings, IREN
managed to secure new revenue streams. Although the net loss still amounted to
$29 million, it was six times smaller than the previous year.
Finance
Magnatesreported in
2023 that after a tough 2022, cryptocurrency miners began seriously looking
towards AI and HPC, which are highly energy-intensive industries.
VanEck's head of digital assets research, Matthew Sigel
An August report from VanEck this year confirmed this trend. According to Matthew Sigel,
VanEck's head of digital assets research, the pivot from BTC to HPC/AI could
unlock $38 billion in value for mining companies by 2027.
“AI
companies need energy, and Bitcoin miners have it,” Sigel commented.
“As the market values the growing AI/HPC data center market, access to
power—especially in the near term—is commanding a premium.”
Examples of
such moves have been visible since last year. For instance, HIVE Blockchain
changed its name to HIVE Digital to better reflect the evolving nature of its
business, which now focuses not only on BTC mining but also on supporting HPC
and AI industries. The company expects this new venture to double its revenue
and has announced the construction of a new hydroelectric data center to
support this goal.
Iris Energy
Limited, the publicly listed Wall Street Bitcoin (BTC) mining company (NASDAQ:
IREN) that recently pivoted to promoting itself as a high-performance computing
(HPC) data center operator, is facing a class action lawsuit alleging it
misrepresented its capabilities and prospects to investors.
Wall Street Bitcoin Miner Faces
Lawsuit over Alleged Misrepresentation of Data Center Capabilities
The
lawsuit, filed
in the United States District Court for the Eastern District of New York,
claims that Iris Energy and its executives made false and misleading statements
about the company's ability to transition its facilities from Bitcoin mining to
HPC and artificial intelligence applications.
According
to the complaint, Iris Energy's Childress, Texas facility, which the company
touted as a key asset for its HPC strategy, lacks critical features necessary
for such operations. The lawsuit alleges that the site has inadequate power
redundancy, cooling systems, and fiber connectivity.
The accusers suggest that Iren's statements were allegedly untrue. Source: Courtlistener.com
The lawsuit
also cites statements made by Iris Energy's co-CEO, Daniel Roberts, who claimed
the company had “built this base layer, this bedrock of high-performance
data centers that can do any high-performance compute.” The plaintiffs
argue that these statements were materially false and misleading, “because the
Company overstated the capabilities of its data center business and its
overall prospects.”
Iris
Energy's stock price fell approximately 15% following the publication of a
critical report by Culper Research, which raised concerns about the company's
HPC claims and the suitability of its facilities for such applications.
“Culper
further stated that it was ‘short IREN because we believe the Company has
dramatically misrepresented the strength and potential of its assets for HPC/AI
Applications’,” the lawsuit commented.
IREN shares are falling more than 50% from the July 2024 highs. Source: Yahoo Finance
The class
action seeks to recover damages on behalf of investors who purchased Iris
Energy securities between June 20, 2023, and July 11, 2024, alleging violations
of federal securities laws.
Bitcoin Miners from Wall
Street Pivot to AI
IREN's
shift towards AI is driven by increasingly challenging conditions in the
cryptocurrency mining market. The company's latest fiscal year 2024 report
revealed that by adding AI industry support services to its offerings, IREN
managed to secure new revenue streams. Although the net loss still amounted to
$29 million, it was six times smaller than the previous year.
Finance
Magnatesreported in
2023 that after a tough 2022, cryptocurrency miners began seriously looking
towards AI and HPC, which are highly energy-intensive industries.
VanEck's head of digital assets research, Matthew Sigel
An August report from VanEck this year confirmed this trend. According to Matthew Sigel,
VanEck's head of digital assets research, the pivot from BTC to HPC/AI could
unlock $38 billion in value for mining companies by 2027.
“AI
companies need energy, and Bitcoin miners have it,” Sigel commented.
“As the market values the growing AI/HPC data center market, access to
power—especially in the near term—is commanding a premium.”
Examples of
such moves have been visible since last year. For instance, HIVE Blockchain
changed its name to HIVE Digital to better reflect the evolving nature of its
business, which now focuses not only on BTC mining but also on supporting HPC
and AI industries. The company expects this new venture to double its revenue
and has announced the construction of a new hydroelectric data center to
support this goal.
Damian's adventure with financial markets began at the Cracow University of Economics, where he obtained his MA in finance and accounting. Starting from the retail trader perspective, he collaborated with brokerage houses and financial portals in Poland as an independent editor and content manager. His adventure with Finance Magnates began in 2016, where he is working as a business intelligence analyst.
Elon Musk’s X Teases In-App Crypto Trading, but How Will It Work?
Executive Interview | Dor Eligula | Co-Founder & Chief Business Officer, BridgeWise | FMLS:25
Executive Interview | Dor Eligula | Co-Founder & Chief Business Officer, BridgeWise | FMLS:25
In this session, Jonathan Fine form Ultimate Group speaks with Dor Eligula from Bridgewise, a fast-growing AI-powered research and analytics firm supporting brokers and exchanges worldwide.
We start with Dor’s reaction to the Summit and then move to broker growth and the quick wins brokers often overlook. Dor shares where he sees “blue ocean” growth across Asian markets and how local client behaviour shapes demand.
We also discuss the rollout of AI across investment research. Dor gives real examples of how automation and human judgment meet at Bridgewise — including moments when analysts corrected AI output, and times when AI prevented an error.
We close with a practical question: how retail investors can actually use AI without falling into common traps.
In this session, Jonathan Fine form Ultimate Group speaks with Dor Eligula from Bridgewise, a fast-growing AI-powered research and analytics firm supporting brokers and exchanges worldwide.
We start with Dor’s reaction to the Summit and then move to broker growth and the quick wins brokers often overlook. Dor shares where he sees “blue ocean” growth across Asian markets and how local client behaviour shapes demand.
We also discuss the rollout of AI across investment research. Dor gives real examples of how automation and human judgment meet at Bridgewise — including moments when analysts corrected AI output, and times when AI prevented an error.
We close with a practical question: how retail investors can actually use AI without falling into common traps.
Brendan Callan joined us fresh off the Summit’s most anticipated debate: “Is Prop Trading Good for the Industry?” Brendan argued against the motion — and the audience voted him the winner.
In this interview, Brendan explains the reasoning behind his position. He walks through the message he believes many firms avoid: that the current prop trading model is too dependent on fees, too loose on risk, and too confusing for retail audiences.
We discuss why he thinks the model grew fast, why it may run into walls, and what he believes is needed for a cleaner, more responsible version of prop trading.
This is Brendan at his frankest — sharp, grounded, and very clear about what changes are overdue.
Brendan Callan joined us fresh off the Summit’s most anticipated debate: “Is Prop Trading Good for the Industry?” Brendan argued against the motion — and the audience voted him the winner.
In this interview, Brendan explains the reasoning behind his position. He walks through the message he believes many firms avoid: that the current prop trading model is too dependent on fees, too loose on risk, and too confusing for retail audiences.
We discuss why he thinks the model grew fast, why it may run into walls, and what he believes is needed for a cleaner, more responsible version of prop trading.
This is Brendan at his frankest — sharp, grounded, and very clear about what changes are overdue.
Elina Pedersen on Growth, Stability & Ultra-Low Latency | Executive Interview | Your Bourse
Elina Pedersen on Growth, Stability & Ultra-Low Latency | Executive Interview | Your Bourse
Recorded live at FMLS:25 London, this executive interview features Elina Pedersen, in conversation with Finance Magnates, following her company’s win for Best Connectivity 2025.
🔹In this wide-ranging discussion, Elina shares insights on:
🔹What winning a Finance Magnates award means for credibility and reputation
🔹How broker demand for stability and reliability is driving rapid growth
🔹The launch of a new trade server enabling flexible front-end integrations
🔹Why ultra-low latency must be proven with data, not buzzwords
🔹Common mistakes brokers make when scaling globally
🔹Educating the industry through a newly launched Dealers Academy
🔹Where AI fits into trading infrastructure and where it doesn’t
Elina explains why resilient back-end infrastructure, deep client partnerships, and disciplined focus are critical for brokers looking to scale sustainably in today’s competitive market.
🏆 Award Highlight: Best Connectivity 2025
👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events.
#FMLS25 #FinanceMagnates #BestConnectivity #TradingTechnology #UltraLowLatency #FinTech #Brokerage #ExecutiveInterview
Recorded live at FMLS:25 London, this executive interview features Elina Pedersen, in conversation with Finance Magnates, following her company’s win for Best Connectivity 2025.
🔹In this wide-ranging discussion, Elina shares insights on:
🔹What winning a Finance Magnates award means for credibility and reputation
🔹How broker demand for stability and reliability is driving rapid growth
🔹The launch of a new trade server enabling flexible front-end integrations
🔹Why ultra-low latency must be proven with data, not buzzwords
🔹Common mistakes brokers make when scaling globally
🔹Educating the industry through a newly launched Dealers Academy
🔹Where AI fits into trading infrastructure and where it doesn’t
Elina explains why resilient back-end infrastructure, deep client partnerships, and disciplined focus are critical for brokers looking to scale sustainably in today’s competitive market.
🏆 Award Highlight: Best Connectivity 2025
👉 Subscribe to Finance Magnates for more executive interviews, industry insights, and exclusive coverage from the world’s leading financial events.
#FMLS25 #FinanceMagnates #BestConnectivity #TradingTechnology #UltraLowLatency #FinTech #Brokerage #ExecutiveInterview
In this video, we take an in-depth look at @BlueberryMarketsForex , a forex and CFD broker operating since 2016, offering access to multiple trading platforms, over 1,000 instruments, and flexible account types for different trading styles.
We break down Blueberry’s regulatory structure, including its Australian Financial Services License (AFSL), as well as its authorisation and registrations in other jurisdictions. The review also covers supported platforms such as MetaTrader 4, MetaTrader 5, cTrader, TradingView, Blueberry.X, and web-based trading.
You’ll learn about available instruments across forex, commodities, indices, share CFDs, and crypto CFDs, along with leverage options, minimum and maximum trade sizes, and how Blueberry structures its Standard and Raw accounts.
We also explain spreads, commissions, swap rates, swap-free account availability, funding and withdrawal methods, processing times, and what traders can expect from customer support and additional services.
Watch the full review to see whether Blueberry’s trading setup aligns with your experience level, strategy, and risk tolerance.
📣 Stay up to date with the latest in finance and trading. Follow Finance Magnates for industry news, insights, and global event coverage.
Connect with us:
🔗 LinkedIn: /financemagnates
👍 Facebook: /financemagnates
📸 Instagram: https://www.instagram.com/financemagnates
🐦 X: https://x.com/financemagnates
🎥 TikTok: https://www.tiktok.com/tag/financemagnates
▶️ YouTube: /@financemagnates_official
#Blueberry #BlueberryMarkets #BrokerReview #ForexBroker #CFDTrading #OnlineTrading #FinanceMagnates #TradingPlatforms #MarketInsights
In this video, we take an in-depth look at @BlueberryMarketsForex , a forex and CFD broker operating since 2016, offering access to multiple trading platforms, over 1,000 instruments, and flexible account types for different trading styles.
We break down Blueberry’s regulatory structure, including its Australian Financial Services License (AFSL), as well as its authorisation and registrations in other jurisdictions. The review also covers supported platforms such as MetaTrader 4, MetaTrader 5, cTrader, TradingView, Blueberry.X, and web-based trading.
You’ll learn about available instruments across forex, commodities, indices, share CFDs, and crypto CFDs, along with leverage options, minimum and maximum trade sizes, and how Blueberry structures its Standard and Raw accounts.
We also explain spreads, commissions, swap rates, swap-free account availability, funding and withdrawal methods, processing times, and what traders can expect from customer support and additional services.
Watch the full review to see whether Blueberry’s trading setup aligns with your experience level, strategy, and risk tolerance.
📣 Stay up to date with the latest in finance and trading. Follow Finance Magnates for industry news, insights, and global event coverage.
Connect with us:
🔗 LinkedIn: /financemagnates
👍 Facebook: /financemagnates
📸 Instagram: https://www.instagram.com/financemagnates
🐦 X: https://x.com/financemagnates
🎥 TikTok: https://www.tiktok.com/tag/financemagnates
▶️ YouTube: /@financemagnates_official
#Blueberry #BlueberryMarkets #BrokerReview #ForexBroker #CFDTrading #OnlineTrading #FinanceMagnates #TradingPlatforms #MarketInsights
Exness CMO Alfonso Cardalda on Cape Town office launch, Africa growth, and marketing strategy
Exness CMO Alfonso Cardalda on Cape Town office launch, Africa growth, and marketing strategy
Exness is expanding its presence in Africa, and in this exclusive interview, CMO Alfonso Cardalda shares how.
Filmed during the grand opening of Exness’s new Cape Town office, Alfonso sits down with Andrea Badiola Mateos from Finance Magnates to discuss:
- Exness’s marketing approach in South Africa
- What makes their trading product stand out
- Customer retention vs. acquisition strategies
- The role of local influencers
- Managing growth across emerging markets
👉 Watch the full interview for fundamental insights into the future of trading in Africa.
#Exness #Forex #Trading #SouthAfrica #CapeTown #Finance #FinanceMagnates
Exness is expanding its presence in Africa, and in this exclusive interview, CMO Alfonso Cardalda shares how.
Filmed during the grand opening of Exness’s new Cape Town office, Alfonso sits down with Andrea Badiola Mateos from Finance Magnates to discuss:
- Exness’s marketing approach in South Africa
- What makes their trading product stand out
- Customer retention vs. acquisition strategies
- The role of local influencers
- Managing growth across emerging markets
👉 Watch the full interview for fundamental insights into the future of trading in Africa.
#Exness #Forex #Trading #SouthAfrica #CapeTown #Finance #FinanceMagnates
