Tether Critics Seethe as Court Dismisses Class Action Lawsuit

The judge in charge of the Tether and Bitfinex class action lawsuit dismissed the case with a 6-page decision handed on August 4.

Posted by by Codie Bowman
Tether-(USDT)-Fails-to-Release-Backing-Documents
  1. The judge in charge of the Tether and Bitfinex class action lawsuit dismissed the case.
  2. A 6-page decision said that the lawsuit was without merit, as far as law was concerned.
  3. In the court of public opinion, many still believe that Tether’s USDT is not fully backed by US dollar reserves.

In a significant legal victory for Tether and Bitfinex, Chief Judge Laura Taylor Swain of the US District Court for the Southern District Of New York issued a comprehensive 6-page decision today, dismissing the meritless class action lawsuit filed by Matthew Anderson and Shawn Dolifka against the two companies.

The Court’s ruling highlighted that the plaintiffs’ complaint failed to present any “plausible allegations of injury,” as it lacked substantial evidence to suggest that the widely-used stablecoin, USDT, had suffered any diminished actual value.

The dismissal of the entire class action complaint at this early stage of the proceedings underscored the fact that the plaintiffs’ claims were without legal merit.

In response to the ruling, Tether and Bitfinex expressed their dedication to their customers and community, reassuring that they remain steadfast in delivering on their promises and prioritizing the protection of their users.

The lawsuit’s dismissal comes as a resounding validation of Tether and Bitfinex’s business practices and signals a victory for the stablecoin industry as a whole. As USDT continues to be a significant player in the cryptocurrency market, this ruling could have broader implications for the regulatory landscape and investor confidence in stablecoins.

The companies’ legal triumph reaffirms their commitment to transparency and adherence to all relevant regulations, and they are poised to continue operating in a manner that instills confidence in their users and partners alike.

In the court of public opinion, however, many still believe that Tether dabbles in questionable practices and that its USDT stablecoin is not fully backed by US dollar reserves. This latter sentiment remains unproven to this day.

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