A Legal Victory for Tether and Bitfinex
Chief Judge Laura Taylor Swain of the U.S. District Court for the Southern District Of New York has dismissed a class action lawsuit against Tether and Bitfinex, claiming that Tether had falsely advertised its USDT stablecoin as being backed one-to-one by the U.S. dollar.
Key Points
- The lawsuit was stopped early on, as the plaintiffs failed to provide any plausible allegations of injury.
- The court found no concrete evidence indicating that the value of USDT had been adversely affected.
- Tether and Bitfinex’s CTO expressed relief and satisfaction with the court’s decision.
- The court highlighted that the plaintiffs did not provide sufficient facts to prove any tangible injury, such as buying or selling prices of USDT.
- Tether’s recent net profit of $850 million in Q2 and its position as the eleventh-largest holder of bitcoin globally may be solidified by this legal win.
Hot Take
This legal victory is a significant win for Tether and Bitfinex, as it dismisses the allegations of falsely advertising USDT. The court’s decision highlights the importance of providing concrete evidence in class action lawsuits, and it reinforces Tether’s position in the market. With their recent net profit and strong influence, Tether continues to be a dominant force in the crypto industry.
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