Lead Plaintiff Settles Class Action Targeting $20 Mln ICO for $250,000
Pb Plaintiff Settles Class Action Targeting $20 Mln ICO for $250,000
The lead plaintiff in a lawsuit against ATB Coin for its $20 million ICO will settle the example for only $250,000.
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In a continuation of ATBCoin'due south class action lawsuit over its $20 million dollar Initial Coin Offering, or ICO, the atomic number 82 plaintiff has filed to settle the case for i.5% of the total raised.
While ATB Coin claimed that its blockchain would be the fastest in the world, ATB'due south launch revealed that its technology could not out-perform other ledgers.
$20M ICO Suit to Settle for $250,000
In a movement for preliminary approval filed on April 10, the lead plaintiff in the arrange, Raymond Balerta, has filed for a $250,000 settlement.
The lawsuit accused ATBCoin of failing to file a registration statement for its $xx meg ICO with the U.S. Securities and Substitution Commission (SEC). Balestra filed the complaint in September 2022 on behalf of himself and the "thousands" of other investors he claims participated in ATB's token auction.
The movement for preliminary approval of settlement states:
"Lead Plaintiff respectfully submits that the Settlement warrants preliminary approving because it is the result of vigorous arms-length negotiations by experienced counsel, representing a favorable recovery that falls well within the range of possible approval."
Firm behind "fastest blockchain in the Milky way" accused of exaggerating claims
The plaintiffs alleged that ATBCoin touted its platform every bit "the fastest cryptographic network in the Milky Way milky way" and made other exaggerated marketing claims regarding the capabilities of its engineering.
ATB is also accused of silently changing the price of its tokens on multiple occasions during the ICO — with the Plaintiffs challenge to have evidence that the company inflated ATB token prices from $1 in June 2022 to $ane.50 2 months later, then over again lifting the price to $two.50 in September 2022.
In April 2022, ATB Money was unsuccessful in an endeavor to have the case rejected. U.South. Commune Judge, Vernon Broderick, then ruled that the complaint adequately showed the firm may have violated securities laws through its ICO, allowing the instance to keep.
The markets for ATB's token largely appear to exist inactive. Nevertheless, the ATB markets did produce a single trade on the controversial Russian crypto exchange, YoBit, at the start of April.
Tezos settles consolidated lawsuit
In March, Tezos (XTZ) moved to settle a $25 1000000 consolidated lawsuit targeting its ICO, with the Tezos Foundation citing a want to put the two-year legal battle to rest every bit the motivation underpinning the settlement.
"It was decided that the one-time financial price of a settlement was preferable to the distractions and legal costs associated with continuing to fight in the courts," the foundation stated.
Source: https://cointelegraph.com/news/lead-plaintiff-settles-class-action-targeting-20-mln-ico-for-250-000
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