Tether Hit With New Class Action Lawsuit

Tether faces yet another class action lawsuit.

This marks the 2nd time in 4 months that the popular stablecoin has been hit with legal action.

The source of the suit is a group of angry investors, led by Matthew Anderson and Shawn Dolifka, who argue that Tether misled them into believing that USDT was 100% backed by U.S. Dollars.

Tether responded by issuing a statement decrying the lawsuit as “nonsense”, and claimed that this is merely a “copy-cat lawsuit”.

It remains to be seen whether this particular lawsuit will succeed, or even make it very far.

The lawsuit was filed in the U.S. District Court for The Southern District of New York:

🚨 BREAKING: A new class action lawsuit was filled against #Tether in the U.S. District Court for the Southern District of New York. The plaintiffs allege #cryptocurrency fraud in #Tether, #iFinex, #Bitfinex and their subsidiaries. #Retweet

Link: https://t.co/KIA1PSyKYl pic.twitter.com/792A4B1pww

— WallStreetPro (@wallstreetpro) December 13, 2021

ULTRA BREAKING NEWS: Tether New Class Action Lawsuit. A group is suing Tether alleging that it falsely represented USDT backing. The filing states that Tether “misled consumers regarding the attributes of Tether tokens” & refers to Tether’s token sales as a breach of contract pic.twitter.com/OAI9xpAFh5

— CryptoAlerts (@FollowBitcoin4) December 14, 2021

Crypto Briefing writes:

This is the second time Tether has faced a lawsuit in the space of four months. In September, Tether won a similar legal case after a group of traders claimed that the stablecoin issuer had manipulated the crypto market. The traders alleged that they lost money from purchasing crypto assets at inflated prices after Bitfinex bought them during market dips. A judge ruled in Tether’s favor.

 

So what happens if @Tether_to lose the class action lawsuit? Almost Every exchange uses it against crypto$USDT

— Raymond Ribbit ⚛️ (@melancryptoly) December 14, 2021

Tether had this to say via a blog post in response to the lawsuit:

Last Friday another nonsense, copycat lawsuit was filed by two Plaintiffs and their law firm looking for a hefty payout based on entirely meritless claims. Their efforts will fail miserably. Shameless money grabs, for which this lawsuit is a textbook example, will never be dignified by way of paying one Satoshi in a settlement. Bitfinex and Tether will aggressively litigate and dispense with the action in due course, and then pursue their remedies against the filing parties.

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