New York: the lawsuit against the Nano developers rejected by the judge

New York judge dismissed class action led against the altcoin Nano development team (NANO).

Unfounded complaint?

The action was filed in April by a US citizen, Alex Brola, who bought $ 50,000 from XRB (then called RaiBlocks (XRB)) on December 10, 2017, and subsequently lost a lot of his funds during a piracy . He accused the Nano team of violating US securities laws by fraudulently selling unregistered securities and concealing the weakness of the security features used by BitGrail, which was stolen 17 million Nano (XRB ), which was $ 187 million at that time.

Nina Gershon, the US District Judge, dismissed the case about a month after Brola voluntarily withdrew her complaint. Although the rejection does not mention the reason for the discontinuation of the prosecution, senior defense counsel Peters Scoolidge reportedly told Law 360 that the complainant withdrew his complaint for unsubstantiated reasons.

Cryptocurrencies are not subject to securities laws

Prior to the withdrawal of the complaint, the defendants urged the Federal Court of New York to drop the lawsuit, arguing that the tokens are not securities and are therefore not subject to securities laws.

In addition, Brola asked that the Nano team compensate his victims.

As a reminder, BitGrail and the Nano team have been accused of stealing $ 187 million worth of XRB chips. Francesco Firano, CEO of BitGrail, however, argued that the refund of the stolen amount is unfeasible.

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