US Court Dismisses Lawsuit Against Bancor: Securities Violation Claim Fails
CryptoNewsTerminal Staff10 Sep, 2024
US Court Dismisses Lawsuit Against Bancor: Securities Violation Claim Fails
A US court has dismissed a class-action lawsuit against decentralized exchange Bancor, citing the lack of jurisdiction over the defendants. The plaintiffs had alleged that Bancor violated US securities laws, but the court found that the company's founders are based outside the US and are not subject to US law. The lawsuit was filed by a group of investors who claimed that Bancor had misled them about the risks of investing in its platform. The plaintiffs alleged that Bancor's founders had made false and misleading statements about the company's financial health and the safety of its platform. The court dismissed the lawsuit on the grounds that Bancor's founders are not subject to US securities laws. The court found that the defendants are based in Israel and Switzerland and that they did not solicit investments from US investors. The court's decision is a blow to the plaintiffs, who are now left with no legal recourse against Bancor. The decision also sets a precedent for other cases involving foreign companies that are accused of violating US securities laws.
