A New York Judgehas disagreed to aninvestor’sproposedlawsuitagainst the development team of altcoin Nano [XRB],in line withthe recent court documents filed. Thelawsuitblamedthe devs of luring him to trade the coin on a platform that lostmillionsof dollars’worth of the digital currency.
Initially, thelawsuitwas filed earlier inthe month of April by Alex Brola,thatreportedly purchased $50,000 USDworthof Nano [XRB] on Dec. 10 in the year 2017, through Silver Miller law firm. The suitblamedNano’s core team of violating U.S. securities laws bymercantilismunregistered securities and negligently misrepresenting theresponsibilityof Italian crypto exchange BitGrail, fromthataround17 Bln Nano [XRB] [i.e around $187 Mln at the present time], was stolen in Feb.
As per the lawsuit, Brola asked that Nano [XRB] be ordered to “rescue fork” the investors’ missing XRB “intoa replacement cryptocurrencyin a verymannerthat mayfairly compensatethe categoryof victims.”ThoughBrolais the namedlitigantwithin thecase filled, thecaseclaimed thereare“at least thousands ofputativeclassmembers,” that Silver Miller planned to contactthroughoutthe discoveryperiod.
U.S. District Judge ‘Nina Gershon’laid-offthe casea fewmonthafter onceBrola voluntarily withdrew the suit. The notice of dismissaldoesn’tstate why the suit wasdropped, the lead defense counsel Peters Scoolidge reportedly told legal newswebsite‘Law 360’ that “thelitigantwithdrew thecomplaintas the case filed lackedproofs.”
Prior to Brola’scallto withdraw thecase, the defendants urged thethe district courtto dismiss the suit, claiming that the tokensdon’t seem to belinked with securitiesand thusdon’t seem to besubjected to securities laws.
In a motion to dismiss filed case inSep, the Nano [XRB] teamexpressedthat the cryptocurrencycannotbe classified as a securityas a result ofthe corporatehadnevergained anyMoneyin exchange for its insurance and has no investors. “Nano’sworthdoesn’tderive froma bunchof managers or executives managingotherpeople’s property; rather, Nano’sworthspringsfrom its utility or potential utility as a currency,” the documentfurther added.
Following the hack,both theBitGrail and Nano accusedothersof beingliable forthe $187 Mlntheftof Nano [XRB] tokens. BitGrailchief operating officerFrancesco Firano in a recent interview told that “it’snot possible to refund the amountstolen.”