GMO-Z.com Trust $6.75M Gyen Class Action Lawsuit Settlement GYEN Stablecoin Crash, Get Your Cut of $6.75M Settlement
Cryptocurrency investors who bought GYEN stablecoin in New York or California when it crashed and lost its peg to the Japanese yen could receive money from a $6.75 million class action settlement. The settlement resolves claims that GMO-Z.com Trust Company misled investors about GYEN’s stability between December 29, 2020, and October 10, 2025.
Your payment depends on your actual losses. The claim deadline is June 5, 2026.
Critical Deadlines
Claim Deadline: June 5, 2026
Exclusion/Objection Deadline: April 30, 2026
Final Approval Hearing: May 27, 2026 at 2:00 PM
Court Location: Daniel Patrick Moynihan U.S. Courthouse, NYC
Payment Date: After final approval and appeals (approximately 3-6 months)
Website: www.GYENSettlement.com
What Happened With GYEN?
GYEN was marketed as a stablecoin pegged “one-to-one” to the Japanese yen. When Coinbase listed GYEN for trading on November 16, 2021, the stablecoin immediately lost its peg. GYEN’s value skyrocketed to over $5,000 per token (seven times the yen’s value), then crashed by more than 80% within hours.
Investors like Kenneth Donovan lost hundreds of thousands of dollars. Donovan paid approximately $335,000 for 38 million GYEN tokens. Within hours, his holdings lost over 80% of their value and never recovered.
The lawsuit, Donovan v. GMO-Z.com Trust Company, alleges GMO Trust violated New York and California law by failing to disclose that GYEN was susceptible to wild price fluctuations. While the Japanese yen fluctuated only 7% against the U.S. dollar from January 2021 to 2022, GYEN fluctuated over 200%.
GMO Trust denies all wrongdoing but agreed to settle to avoid litigation costs and uncertainty.
Settlement Amount Breakdown
Here’s how the $6.75 million gets divided:
Total Settlement Fund: $6,750,000
Expected Deductions:
- Attorney fees: Up to 33% = approximately $2,227,500
- Litigation costs: Estimated $50,000 to $100,000
- Service awards to class representatives: Estimated $10,000 to $15,000 total
- Settlement administration costs: Estimated $150,000 to $250,000
Estimated Net Fund for Claimants: Approximately $4,150,000 to $4,350,000
The court will determine exact attorney fees and costs at the May 27, 2026 final approval hearing.
Am I Eligible?
You’re eligible if you meet ALL of these requirements:
✓ Purchased or acquired GYEN
✓ In New York or California
✓ Between December 29, 2020, and October 10, 2025
✓ When GYEN was unpegged from the Japanese yen
✓ Lost money on those transactions
Not eligible: GMO Trust officers, directors, or controlling persons, and anyone who validly opts out.
Payment Calculation – HOW MUCH YOU’LL GET
Unlike fixed-share settlements, this settlement uses a loss-based calculation. Your payment depends on your actual financial losses compared to all other claimants’ losses.
How the Payment System Works
Step 1: Calculate your “recognized loss” based on when you bought and sold GYEN, the prices you paid, and how much you lost when the stablecoin was unpegged.
Step 2: Add up all recognized losses from all valid claims submitted.
Step 3: Your payment = (Your Recognized Loss ÷ Total Recognized Losses) × Net Settlement Fund
Your share of the settlement is proportional to your losses. If you lost $10,000 and total losses across all claimants equal $100 million, you’d receive approximately 0.01% of the net fund.
Important Notes About Payments
Total recognized losses are unknown until all claims are processed. The $50 million total used in these examples is an estimate based on the settlement amount and typical claim rates.
Your exact payment depends on:
- How much you actually lost
- How many people file claims
- The total dollar amount of all losses claimed
- Final court-approved deductions
Minimum payment thresholds may apply. Many settlements don’t distribute checks under $10 to reduce administrative costs.
How to File Your Claim
You MUST file a claim to receive money. Filing takes approximately 15-30 minutes.
Step 1: Gather Your Documentation
You’ll need:
- Wallet address(es) or exchange account numbers used for GYEN transactions
- Transaction history showing all GYEN purchases and sales between December 29, 2020, and October 10, 2025
- Screenshots or statements from exchanges (Coinbase, etc.)
- Login ID and PIN from your settlement notice (if you received one)
Step 2: Choose Your Filing Method
Option A: Online Filing (Recommended)
- Visit www.GYENSettlement.com
- Click “Submit a Claim”
- Enter your Login ID and PIN (or click to start without them)
- Use the wallet connector to verify ownership of your wallet
- Enter all GYEN transactions during the class period
- Submit electronically
Option B: Paper Claim Form
- Download the claim form at www.GYENSettlement.com
- Fill out completely and legibly
- Attach documentation proving wallet ownership and all transactions
- Mail to:
GYEN Class Action Settlement
Claims Administrator
P.O. Box 25229
Santa Ana, CA 92799
Step 3: Submit Before Deadline
Claims must be submitted online or postmarked by June 5, 2026. Late claims will be rejected.
Need help? Contact the Claims Administrator:
- Email: [email protected]
- Phone: 833-647-9041
What You Must Know Before Filing
Tax Implications
Settlement payments are taxable income. Unlike some injury settlements, payments from securities class actions are typically taxable. Expect to receive a Form 1099 reporting your payment.
You are responsible for:
- Reporting the income on your tax return
- Paying applicable federal and state taxes
- Keeping records of the settlement payment
Consult a tax professional if you have questions about your specific tax situation.
Opt-Out Process
You can exclude yourself from the settlement and retain your right to sue GMO Trust independently. To opt out:
- Send a written exclusion request stating you want to be excluded
- Include your name, address, telephone number, and signature
- Mail to the address provided in the Long Form Notice
- Must be received by April 30, 2026
If you opt out: You get nothing from the settlement but keep your right to sue separately.
Payment Timeline
After the June 5, 2026 claim deadline:
- Court reviews settlement at May 27, 2026 hearing
- Judge approves or denies settlement and attorney fees
- Appeal period passes (typically 30-60 days)
- Claims are validated and calculations completed
- Checks are mailed approximately 3-6 months after final approval
Total timeline: Expect payments in late 2026 or early 2027.
Common Mistakes That Delay Payment
❌ Not providing wallet verification – Use the online wallet connector tool
❌ Missing transaction documentation – Include exchange statements or screenshots
❌ Incomplete transaction list – Report ALL GYEN buys and sells during the class period
❌ Wrong dates – Only include transactions between December 29, 2020, and October 10, 2025
❌ Filing multiple claims – Submit one claim per person/entity
❌ Missing the deadline – File early; don’t wait until June 5
Frequently Asked Questions
Q: How much money will I get from this settlement?
A: Your payment is based on your actual losses as a percentage of all claimants’ total losses. If you lost $10,000 and total losses equal $50 million, you’d receive approximately 0.02% of the net settlement fund (around $850). Exact amounts depend on how many people file claims.
Q: Do I need to have sold my GYEN to file a claim?
A: No. If you still hold GYEN that you purchased when it was unpegged and the value dropped, you can file a claim based on your losses.
Q: What if I bought GYEN on Coinbase when it was trading at $5,000?
A: You may still be eligible if you lost money when GYEN crashed back down. Your recognized loss would be calculated based on your purchase price and sale price (or current value if still holding).
Q: Can I file a claim if I live outside New York or California?
A: No. Only people who purchased or acquired GYEN in New York or California are included in the settlement class.
Q: What if I lost $335,000 like the lead plaintiff Kenneth Donovan?
A: You would receive a proportionally larger payment than investors with smaller losses. If your loss was $335,000 out of $50 million in total losses, you’d receive approximately 0.67% of the net fund (around $28,475 based on a $4.25M net fund).
Q: Do I need a lawyer to file a claim?
A: No. You can file your claim yourself for free through the settlement website or by mail. Class counsel already represents all settlement class members.
Q: When will I receive my payment?
A: Payments typically arrive 3-6 months after the court grants final approval and any appeals are resolved. Expect late 2026 or early 2027.
Q: What if I can’t access my old crypto wallet?
A: Submit a paper claim form with as much documentation as possible (exchange statements, screenshots, emails). Include a signed letter explaining your situation and attach any supporting evidence you have.
Q: Will GMO Trust know if I file a claim?
A: No. Claims are processed confidentially by the independent claims administrator. GMO Trust does not receive individual claimant information.
Q: Can I object to the settlement if I think it’s not fair?
A: Yes. You must file a written objection with the court and serve it on counsel by April 30, 2026. Instructions are in the Long Form Notice. You cannot object if you opt out.
Official Resources
Settlement Website: www.GYENSettlement.com
Claims Administrator:
Simpluris, Inc.
Email: [email protected]
Phone: 833-647-9041
Mail: P.O. Box 25229, Santa Ana, CA 92799
Class Counsel:
Elizabeth A. Kramer
Erickson Kramer Osborne LLP
959 Natoma Street
San Francisco, CA 94103
415-635-0631
[email protected]
Case Information:
Donovan v. GMO-Z.com Trust Company, Inc.
Case No. 1:23-cv-08431
U.S. District Court, Southern District of New York
Disclaimer: This article provides general information about the GYEN class action settlement and is not legal or tax advice. Settlement terms are subject to final court approval. For specific questions about your eligibility or claim, contact the settlement administrator at 833-647-9041. For legal advice, consult an attorney. For tax guidance, consult a tax professional.
About the Author
Sarah Klein, JD, is a licensed attorney and legal content strategist with over 12 years of experience across civil, criminal, family, and regulatory law. At All About Lawyer, she covers a wide range of legal topics — from high-profile lawsuits and courtroom stories to state traffic laws and everyday legal questions — all with a focus on accuracy, clarity, and public understanding.
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