Singapore Court Rules MultiChain Liable for $2.1 Million Payment to Fantom

IconCryptoNewsTerminal Staff08 Jul, 2024

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Singapore Court Rules MultiChain Liable for $2.1 Million Payment to Fantom

Singapore Court Orders MultiChain to Pay $2.1 Million to Fantom In a recent development, the Singapore High Court has ordered MultiChain to pay $2.1 million to Fantom (FTM). This legal action stems from a breach of contract and misrepresentation lawsuit filed by the Fantom Foundation against the MultiChain Foundation in July 2023. The lawsuit alleges that MultiChain was ultimately responsible for the Fantom bridge hack, despite contractual terms stating that the bridge was controlled by decentralized MPC nodes. The court found that MultiChain had ultimate control over the bridge's crypto assets, leading to the ruling in favor of the Fantom Foundation on January 30, 2023. This decision serves as a precedent for holding centralized entities accountable for the security of blockchain bridges, even if they attempt to operate under a decentralized governance structure. The outcome of this case underscores the need for transparency and accountability in the cryptocurrency industry.

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