Evan Luthra Sues Bitget for Account Freeze and Seeks $16 Million in Damages
Crypto influencer Evan Luthra has filed a lawsuit against crypto exchange Bitget after his account was frozen following a new token listing in March. Luthra alleges that the exchange blocked his withdrawals and froze $200,000 in Tether (USDT), with no response to his attempts to seek clarification. He claims innocence and cites ReelStar CEO Navdeep Sharma’s alleged approval of his token sale plans.
Key points:
– Bitget faced a manipulative attack by traders who dumped the new coin REELT immediately after its listing, causing a significant drop in price.
– Bitget claims to have contacted Luthra for an explanation, but received no satisfactory response.
– Luthra seeks $16 million in damages and the release of the $200,000 in his account.
– Bitget conducted an investigation into the case and announced a compensation plan for affected clients.
– The crypto community has expressed mixed reactions, with some supporting Luthra and others believing Bitget acted correctly to protect its users.
In response to Bitget’s managing director, Luthra argues that he is an ordinary user who received tokens as compensation and should not be held responsible for the price drop or considered part of the project team. Bitget stated that it believed the account mentioned was involved in suspicious trading behaviors.
Hot Take:
The lawsuit between Evan Luthra and Bitget highlights the challenges faced by users of centralized crypto exchanges. While Luthra seeks substantial damages and accuses the exchange of stealing his funds, Bitget claims to have taken action to protect its users from suspicious trading behaviors. The outcome of this case could have significant implications for the accountability of exchanges and the rights of individual users.
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