Upbit Ruled to Compensate Investor for Failed Luna Sale Due to Exchange Error
CryptoNewsTerminal Staff06 Aug, 2024
Upbit Ruled to Compensate Investor for Failed Luna Sale Due to Exchange Error
Individual investor wins damages suit against Upbit for 150 million won after failing to sell Luna. According to Newシス, an individual investor has won a lawsuit against Dunamu, the operator of Upbit, after the exchange failed to sell Luna tokens due to an error. On March 24, 2022, the investor attempted to transfer approximately 1310 Luna tokens (worth 156 million won) from their Upbit account to a Binance account. However, due to a typographical error, the tokens were instead transferred to an Upbit wallet. Despite repeated requests to recover the tokens, Upbit refused, citing compliance with the Travel Rule. The court ruled that "if a member is not liable for any debt in the event that a virtual asset is returned to an Upbit wallet due to an error in entering the wallet address during the withdrawal process, this is interpreted as a provision that is disadvantageous to the customer and is therefore void." Upbit has stated that it will not appeal the ruling.
