Bancor Protocol, Binance, BNT, Crypto investors, EOS, false statements, security token, trx, U.S. Securities Act

A Manhattan federal judge has dismissed a securities fraud class action against Bancor after ruling that the plaintiff’s allegations were not enough to give the court jurisdiction. According to a report, the dismissal of the case against represents the first such ruling “in a suite of similar cases filed by crypto investors represented by Selendy & Gay and Roche Cyrulnik.â€

US Courts Have no Jurisdiction

In their motion against Bancor, which has offices in Switzerland and Israel, the plaintiffs led by Timothy Holsworth, had argued that the protocol’s “BNT token is a security and thus falls under U.S Securities law.†In addition, the plaintiffs also alleged that Bancor had “made numerous false statements and omissions that led reasonable investors to conclude that the BNT tokens were not securities.â€

However, in their defense, Bancor countered by arguing that a U.S. trial would be “inappropriate due to the company’s international and geographical nature.†According to a report, Bprotocol Foundation is incorporated under Swiss law and the organization has offices in Zug, Switzerland, and Tel Aviv, Israel. Additionally, the four founders of Bancor live in Israel.

US Investors Versus Non-US Token Issuers

Meanwhile, in their submission, the plaintiffs had insisted the 587 BNT tokens purchased on 4 September 2019 by one Wisconsin resident, William Zhang gave U.S. courts jurisdiction. Zhang, who initially filed the lawsuit, bought the tokens valued at $212.50 on Coss, a digital exchange based in Singapore. However, in dismissing the case, the US judge Alvin Hellerstein said:

In addition to the lawsuit against Bancor, the plaintiffs have filed motions against issuers of EOS, TRX, KNC, and OMG. Centralized exchanges based outside the U.S. like Binance and Kucoin are also included in the lawsuit.

What are your thoughts on this ruling by a U.S. judge? You can share your views in the comments section below.

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Du lịch nhật bản, hướng dẫn du lịch Nhật và đánh giá địa điểm Nhật Bản Japan travel news, japan travel guides, japan holiday destinations and japan reviews

RELATED NEWS

‘Blogger by Day, Trader by Night,’ Binance Runs Advertising Campaign in Major Ukrainian Cities

An advertising campaign across some of Ukraine’s most populous cities is now aiming to attract new traders to the world’s largest digital asset exchange, Binance. The Eastern European nation is known as a promising market and a leader in terms of cryptocurrency adoption. Binance Ads Appear on Trains and Trolleys in Ukraine Cryptocurrency exchange Binance […]

Xem chi tiết: ‘Blogger by Day, Trader by Night,’ Binance Runs Advertising Campaign in Major Ukrainian Cities

Localbitcoins Adds Bitcoin Cash and Other Cryptocurrencies as Payment Methods

Localbitcoins, one of the biggest P2P exchanges in the world, has added Bitcoin Cash and other cryptocurrencies as payment methods to acquire Bitcoin on its platform. This marks a clear departure from the earlier position of the company, which hadn’t added new payment methods and had remained Bitcoin-only for some time. Localbitcoins Adds Bitcoin Cash […]

Xem chi tiết: Localbitcoins Adds Bitcoin Cash and Other Cryptocurrencies as Payment Methods

Binance Extends Blockade of Zimbabwean Crypto Users to Include Non-Resident Traders

Malta-based cryptocurrency exchange, Binance, has reportedly extended its blockade of Zimbabwean users to include non-resident citizens. As a result of the new measures, all Zimbabwean nationals are now precluded from using the Binance trading platform. Zimbabwean Nationals Blocked Prior to the introduction of this new measure, Binance apparently allowed Zimbabwean nationals with non-Zimbabwean residential addresses […]

Xem chi tiết: Binance Extends Blockade of Zimbabwean Crypto Users to Include Non-Resident Traders

More Than 5 Million in Ethereum Worth $13 Billion Rests in the Eth2 Staking Contract

Statistics now show the Eth2 deposit contract has more than 5.2 million staked ether worth over $13 billion locked into the smart contract. The contract launched on November 4, 2020, and three weeks later, the contract met the required threshold to initiate the Beacon Chain. It’s not cheap to become a validator these days, as […]

Xem chi tiết: More Than 5 Million in Ethereum Worth $13 Billion Rests in the Eth2 Staking Contract

A Look at Why Venezuela Is the Third Country With the Most Crypto Adoption

Venezuela has been listed as the third country with the most cryptocurrency adoption in the world by Chainalysis in its 2020 report. With its citizens coping with crippling inflation and losing purchasing power, the country has taken a turn for these assets to survive. But what are the real numbers behind this crisis that made […]

Xem chi tiết: A Look at Why Venezuela Is the Third Country With the Most Crypto Adoption

South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

As cryptocurrency regulation heats up worldwide, South Korean officials have been increasing regulatory discussions concerning the swelling crypto economy. While digital currency markets like bitcoin have tumbled in value in recent times, global crypto market prices have increased across the board on Monday. In South Korea, crypto-assets like bitcoin are once again experiencing a ‘kimchi […]

Xem chi tiết: South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

A Look at Why Venezuela Is the Third Country With the Most Crypto Adoption

Venezuela has been listed as the third country with the most cryptocurrency adoption in the world by Chainalysis in its 2020 report. With its citizens coping with crippling inflation and losing purchasing power, the country has taken a turn for these assets to survive. But what are the real numbers behind this crisis that made […]

Xem chi tiết: A Look at Why Venezuela Is the Third Country With the Most Crypto Adoption

South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

As cryptocurrency regulation heats up worldwide, South Korean officials have been increasing regulatory discussions concerning the swelling crypto economy. While digital currency markets like bitcoin have tumbled in value in recent times, global crypto market prices have increased across the board on Monday. In South Korea, crypto-assets like bitcoin are once again experiencing a ‘kimchi […]

Xem chi tiết: South Korea’s ‘Kimchi Premium’ Returns, BTC Prices Up 8% Higher Than Global Average

South African Crypto Holders Urged to Approach Tax Body Before It Descends on Them

Binance Faces DOJ Probe as Investigators Target Crypto Money Laundering and Tax Evasion

Shiba Inu Gets Listed in Binance and FTX After Price Skyrockets

Bitcoin’s Smallest Unit: Billionaire Mike Novogratz Wants Crypto Exchanges to Quote Satoshis

Binance Reaches Twitter Trending Topic Status in Venezuela

Over $4 Billion in Bitcoin Options Set to Expire Friday, BTC Derivatives Markets Still Frothy

Over $4 Billion in Bitcoin Options Set to Expire Friday, BTC Derivatives Markets Still Frothy

Tether Market Cap Swells Past $50 Billion, USDT Stablecoin Gets Listed on Coinbase Pro

Other Articles