According to the Complaint, YieldStreet Inc. provides accredited investors with “access to innovative income generating products.” These “innovative products” include asset-based investment opportunities in idiosyncratic markets not typically available to the investing public at large, such as fine arts, commercial real estate, or vessel deconstruction.

Most, if not all, of the products YieldStreet offers are debt instruments—specifically, “borrower payment dependent notes” (“BPDNs”), which are defined in YieldStreet’s private placement memoranda as debt obligations tied to the performance of an underlying loan made by a special purpose vehicle. A dedicated special purpose investment vehicle (“SPV”) is formed in connection with each BPDN offering. These SPVs originate, fund, and service the loans underpinning YieldStreet’s repayment obligation.

Plaintiffs bring this action individually and on behalf of all other persons similarly situated (hereinafter referred to as “the Class”), and propose the following Class definition(s) : All persons who purchased a BPDN issued by YS ALTNOTES I or YS ALTNOTES II in connection with the following offerings:
i. Vessel Deconstruction I;
ii. Short Term Vessel Refinancing Fund;
iii. Vessel Deconstruction Fund III;
iv. Vessel Deconstruction Fund IV;
v. Vessel Deconstruction Fund VI; and
vi. Louisiana Oil & Gas.

The Complaint alleges that YieldStreet throughout the Class Period made false and/or misleading statements in its offering documents to induce investors to purchase a BPDN from YieldStreet.

Plaintiffs filed an amended Complaint on May 17, 2021. The amended Complaint is a class action with Federal securities claims. Defendants filed a Motion to Dismiss the amended Complaint on July 1, 2021.

On March 31, 2022, Plaintiffs filed a corrected amended Complaint. On May 2, the Court denied Defendants' Motion to Dismiss the corrected amended Complaint.

On August 22, 2022, the Court issued an Order appointing Lead Plaintiff and Counsel.

Plaintiffs filed a Motion for Class Certification on February 17, 2023. On March 29, 2024, the Court issued an Order granting certification of a class.

On October 25, 2024, the parties entered into a Stipulation and Agreement of Settlement. The Court granted preliminary approval of the Settlement on October 28. On February 21, 2025, the Court granted final approval of the Settlement, including an award of Attorneys’ Fees and Expenses, and entered Final Judgment.