In a significant legal victory, cryptocurrency companies Tether and Bitfinex have successfully fended off a class-action lawsuit. Plaintiff Shawn Dolifka claimed that Tether was dishonest about its reserves. However, the US District Court for the Southern District of New York rejected this lawsuit.
Chief Judge Laura Taylor Swain denied Dolifka's request to amend her complaint against the companies. Following this decision, Dolifka chose not to appeal and made Judge Swain's decision in favor of Tether and Bitfinex final.
The USDT issuer and Bitfinex released an official statement regarding the result. They called Dolifka's decision to file a lawsuit “imprudent” but appreciated his choice not to appeal. The companies claimed that Dolifka's allegations were completely without merit and that further litigation would not result in any monetary or other gain for him or his attorneys.
The statement ended with a definitive statement from Tether and Bitfinex:
“Here and going forward, as we have said many times before, Tether and Bitfinex will never fall victim to shameless money-grabbing lawsuits.”
*This is not investment advice.