Tether and Bitfinex class-action lawsuit dismissed by SDNY: Tether

Quick Take

  • The U.S. Southern District Court of New York has dismissed a class-action lawsuit against Tether and Bitfinex, the stablecoin issuer said on Friday.

U.S. District Court for the Southern District of New York Chief Judge Laura Taylor dismissed a class action lawsuit against Tether and Bitfinex filed by Matthew Anderson and Shawn Dolifka — citing a lack of "plausible allegations of injury" — according to the stablecoin issuer.

Anderson's and Dolifka's complaint centered around allegations that Tether's statements regarding its stablecoin, USDT, being backed one-to-one by the U.S. dollar were false.

"The entirety of the class action complaint being dismissed at this very early stage of the proceedings punctuate the fact that plaintiffs’ claims were void of any legal merit," the stablecoin issuer wrote in an official blog post.

Tether and Bitfinex CTO Paolo Ardoino also shared the news on X (formerly Twitter), reiterating the companies' stance and stating: "It's a good Friday."

Tether, the eleventh-largest holder of bitcoin in the world, reported a net profit of $850 million in the second quarter.

© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.