Former customers of Sam Bankman-FTX Fried’s have filed a proposed class action lawsuit against three venture capital and private equity firms, accusing them of fraudulently promoting the cryptocurrency exchange before it went bankrupt. According to a complaint filed late Tuesday in federal court in San Francisco, Sequoia Capital, Thoma Bravo, and Paradigm were “incentivized” to promote FTX in 2021 and 2022 by the more than $550 million they invested prior to its abrupt collapse.
