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Crypto News

US Court Dismisses Bitfinex/Tether Class Action Lawsuit

Author

Jay Solano

Tags

Reading time

1 min
Last update

Author

Jay Solano

Tags

Reading time

1 min
Last update

Author

Jay Solano

Tags

Reading time

1 min
Last update

bitfinex usdt

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A lawsuit filed against stablecoin issuer Tether and its associated business Bitfinex has been dismissed by the Southern District of New York (SDNY) court.

The case was brought by Matthew Anderson and Shawn Dolifka and focused on claims that, in contrast to the firm’s claims, Tether’s stablecoin USDT was not backed one-to-one with US dollars.

Tether claims that Chief Judge Laura Taylor Swain’s ruling included an order dismissing the lawsuit.

Tether claims,

Because there are no facts in the plaintiff’s complaint that indicate that “USDT had a diminished actual value at all,” the court correctly concluded that there were no “plausible allegations of injury.”

The fact that the whole class action complaint was dismissed so early in the proceedings emphasizes the fact that the plaintiffs’ allegations lacked any basis in law.

Be assured that Tether and Bitfinex are still completely committed to keeping our commitments to our clients and the community at large.

Tether Holdings reported last week that in the second quarter, its total excess reserves climbed by around 35% to $3.3 billion.

As part of Tether’s ongoing commitment to transparency, it also reports an increase in surplus reserves of over $850 million, bringing the total amount to nearly $3.3 billion at the end of the second quarter and bolstering the stability of Tether.