Dolce & Gabbana USA Inc. faces a lawsuit from a customer who claims the non-fungible tokens (NFTs) he bought for ,000, which included metaverse outfits, lost 97% of their value due to delivery failures by the luxury fashion house. The complaint, filed in Manhattan federal court, alleges the NFTs were promoted with various digital, physical, […]
Bitcoin News
Dolce & Gabbana Sued Over $6,000 NFTs Losing 97% Value
Dolce & Gabbana USA Inc. faces a lawsuit from a customer who claims the non-fungible tokens (NFTs) he bought for ,000, which included metaverse outfits, lost 97% of their value due to delivery failures by the luxury fashion house. The complaint, filed in Manhattan federal court, alleges the NFTs were promoted with various digital, physical, […]
Bitcoin News
Ethereum Co-Founder, Consensys Sued By Early Employees Over Alleged Equity Promises
More than two dozen early employees of the blockchain software company Consensys have filed a lawsuit against Ethereum co-founder Joseph Lubin, Consensys, and other parties. The plaintiffs allege Lubin broke contractual promises related to equity compensation made when the employees joined the company in its formative years starting in 2014.
Ethereum Co-Founder Joseph Lubin Faces U.S. Lawsuit
The lawsuit filed in New York comes as Consensys, now valued at over billion, has evolved from its early experimental structure to a more traditional centralized company. The lawsuit was filed on October 19, 2023, in New York state court by 27 former Consensys employees.
The court filing names Joseph Lubin, Consensys, and JPMorgan Chase as defendants. The plaintiffs claim Lubin induced them to join Consensys in its early days with offers of equity in the parent “hub” company Consensys AG.
The former staff members allege Lubin promised this equity would not be diluted. However, in 2020 Consensys restructured, reportedly moving key assets to a new Delaware entity Consensys Software Inc. (CSI). The plaintiffs claim they were largely excluded from the restructuring, leaving their shares in the original Consensys AG far less valuable.
“Lubin made a similar offer to each plaintiff in connection with his or her joining Consensys; plaintiffs accepted the deal, and an agreement was formed,” the lawsuit details.
Lubin allegedly broke a deal that early employees would “win or lose – together – alongside Lubin and Consensys.” The suit claims “Finance took precedence over founding employees.” It seeks damages for breach of contract and fiduciary duties.
It’s not the first instance where Consensys and Lubin have faced such allegations. On March 1, 2022, a collective of thirty-five ex-staffers, accounting for over half of all recognized Consensys AG (CAG) stakeholders, lodged a petition for a distinctive review in line with article 697a and following sections of the Swiss Code of Obligations. The intent? To delve deep into significant discrepancies within CAG.
A spokesperson for Lubin and Consensys fervently refuted the allegations, describing them as “frivolous” in an email sent to Bloomberg. “After two years of getting nowhere with their frivolous claims against Consensys Mesh in a Swiss court, plaintiffs now believe their merit-less claims stand a better chance of yielding a pay day if they game U.S. courts and entangle Consensys Software and other unrelated parties in litigation,” the spokesperson stressed.
What do you think about the lawsuit against Lubin and Consensys? Share your thoughts and opinions about this subject in the comments section below.
Report: Nigerian Central Bank Sued for Dollarizing Economy
In a lawsuit filed by a Nigerian human rights activist, the country’s central bank is accused of failing to stop the dollarization of the economy. According to the activist, the central bank’s unwillingness to stop economic agents from demanding U.S. dollars for domestic transactions has “resulted in the constant devaluation, depreciation and unending plunge of the naira.”
Nigeria’s Foreign Exchange Woes
A Nigerian lawyer and human activist, Femi Falana, is suing the Central Bank of Nigeria (CBN) for allegedly dollarizing the economy. In his suit filed with a Lagos High Court, Falana also alleged that the CBN’s failure to perform its statutory obligations had “resulted in the constant devaluation, depreciation and unending plunge of the naira.”
As has been reported by Bitcoin.com News in the past few months, the Nigerian currency has been losing ground against major currencies. Many Nigerian economic commentators attribute the naira’s constant depreciation to the ongoing U.S. dollar shortage.
According to a report published by Arise TV, the Nigerian human rights activist believes that the High Court can help compel the CBN to enforce relevant provisions of the law.
“Consequently, we urge your lordship to compel the defendant to put an end to the use of [the] dollar as legal tender by enforcing policies and sanctions that will stop the illegal use of dollars as legal tender in Nigeria,” Falana argued.
In addition, Falana, who is a senior advocate of Nigeria (SAN), said the central bank should be forced to declare the naira and kobo as the West African country’s only legal tender. The court should also force the CBN to prosecute anyone who refuses to accept the naira as a means of payment, the lawyer added.
Meanwhile, in an affidavit submitted to support his lawsuit against the central bank, Falana claimed that the apex bank has not stopped schools and landlords from demanding U.S. dollars. The lawyer also accused the CBN of failing to eliminate the multiple exchange rate regime and replace it with a sustainably managed rate within a period of 12 months as promised.
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Binance Sued by CFTC for Alleged Violations of Trading and Derivatives Rules
The world’s largest crypto exchange by trade volume, Binance Holdings Ltd., has been sued by the U.S. Commodity Futures Trading Commission. Binance CEO Changpeng Zhao has been named in the lawsuit and the charges claim the crypto exchange broke several trading and derivatives rules. The lawsuit also names Binance’s former chief compliance officer, Samuel Lim, for allegedly aiding and abetting Binance’s violations.
CFTC Charges Binance with Willful Evasion of Federal Law; CEO Changpeng Zhao Named in Lawsuit
The CFTC has charged Binance with willful evasion of federal law as the regulator insists Binance operated an illegal digital asset derivatives exchange. The CFTC filed the lawsuit in the U.S. District Court for the Northern District of Illinois. The regulator claims that Binance engaged in a calculated strategy of regulatory arbitrage to their commercial benefit.
The crux of the charges stem from Binance allegedly offering commodity derivatives transactions to U.S. residents from 2019 until today. Under CEO Changpeng Zhao’s direction, Binance’s compliance program has been ineffective, the regulator stressed in a press statement.
“The complaint charges that for much of the relevant period, Binance did not require its customers to provide any identity-verifying information before trading on the platform, despite the legal duty that entities like Binance functioning as futures commission merchants (FCMs) collect such information, and failed to implement basic compliance procedures designed to prevent and detect terrorist financing and money laundering,” the CFTC explained on Monday.
The CFTC notes that facilitating derivatives transactions without registering with the regulator is illegal. The regulator stressed that CEO Changpeng Zhao is responsible for such compliance failures. The CFTC stated:
Zhao is liable for Binance’s violations based on his control over Binance and his long-running failure to act in good faith concerning Binance’s misconduct.
Following the news, the entire crypto economy lost 2.94% against the U.S. dollar with bitcoin (BTC) sinking below the ,000 per unit range. The CFTC is seeking civil monetary penalties, permanent trading and registration bans, and disgorgement. “Today’s enforcement action demonstrates that there is no location, or claimed lack of location, that will prevent the CFTC from protecting American investors,” CFTC Chairman Rostin Behnam said in a statement.
“I have been clear that the CFTC will continue to use all of its authority to find and stop misconduct in the volatile and risky digital asset market,” Behnam added. “For years, Binance knew they were violating CFTC rules, working actively to both keep the money flowing and avoid compliance. This should be a warning to anyone in the digital asset world that the CFTC will not tolerate willful avoidance of U.S. law,” the chairman concluded.
What do you think about the CFTC suing Binance? Let us know what you think about this subject in the comments section below.
Federal Investigators Probe Silicon Valley Bank Collapse; SVB and Top Execs Sued by Shareholders
The parent company of Silicon Valley Bank, SVB Financial Group, and two senior executives have been sued by shareholders after SVB’s collapse last Friday. The proposed class action accuses SVB of hiding the fact that interest rate hikes would leave the bank in jeopardy. Additionally, anonymous sources say the U.S. Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) are investigating the collapse of Silicon Valley Bank.
Report Says Investigations Into Silicon Valley Bank’s Collapse Include Stock Sales by Senior Executives
SVB Financial Group, the parent company of Silicon Valley Bank, and its CEO Greg Becker and CFO Daniel Beck have been named in a lawsuit, according to reports on March 13th. Reuters reported that the proposed class action accuses the bank and senior executives of hiding the potential harm that rising interest rates could cause to the now-failed financial institution. The class action was filed in federal court in San Jose, California, and is led by Chandra Vanipenta, who is representing SVB shareholders.
Silicon Valley Bank was placed into receivership by the Federal Deposit Insurance Corporation (FDIC) on Friday. On Sunday, the U.S. Federal Reserve, FDIC, and Treasury announced that all depositors would be reimbursed. The FDIC then converted SVB into a bridge bank under its control and opened the financial institution to depositors on Monday. The lawsuit against SVB seeks unspecified damages for shareholders, and Vanipenta contends that the bank and executives should have disclosed the fact that Federal Funds rate hikes could weaken the firm.
In addition to the lawsuit against SVB, unnamed sources disclosed to the Wall Street Journal that the Department of Justice (DOJ) and Securities and Exchange Commission (SEC) are investigating the bank’s collapse. The Journal reported that each federal agency has launched a separate probe into the failed bank, and investigators are also looking into the stock sales of senior SVB executives prior to the collapse. The DOJ’s investigation involves prosecutors in San Francisco and Washington, according to the sources.
What do you think the outcome of the investigations into Silicon Valley Bank’s collapse will be? Share your thoughts in the comments section below.
Tom Brady, Gisele Bundchen And Sam Bankman-Fried Sued Over FTX Collapse
Per a report from the Washington Examiner, NFL Legend Tom Brady and others are facing a class action lawsuit from FTX investors. The football player is one of the many celebrity ambassadors who vouched for the crypto exchange platform.
Earlier this week, FTX halted new request withdrawals from its users. Later, its former top executive Sam Bankman-Fried filed for bankruptcy protection in the United States.
In the meantime, millions of dollars in users’ funds are stuck at the venue. Shortly after, these funds were stolen by a bad actor, adding more uncertainty to a volatile situation.
According to the report, Edwin Garrison from Oklahoma leads the class action. The document claims FTX was offering its users a securities-based product in alleged violation of U.S. laws. The plaintiff filed the complaint in the Florida Federal Court.
The complaint claims the following, according to the Washington Examiner:
The Deceptive and failed FTX Platform was based upon false representations and deceptive conduct, fraudulent scheme was designed to take advantage of unsophisticated investors from across the country, who utilize mobile apps to make their investments.
Tom Brady, Shaquille O’Neal, Larry Davis And Others Under Scrutiny
In addition to Tom Brady and Sam Bankman-Fried, the complaints accuse supermodel Gisele Bundchen, the NBA team Golden State Warriors, NBA player Stephen Curry, former NBA player Shaquille O’Neal, Udonis Haslem, tennis player Naomi Osaka, comedian Larry David, and entrepreneur Kevin “Mr. Wonderful” O’Leary.
The complaint claims these individuals allegedly promoted and assisted FTX in its illegal activities. Adam Moskowitz, the attorney representing Garrison and others, stated:
FTX were geniuses at public relations and marketing and knew that such a massive Ponzi scheme larger than the Madoff scheme could only be successful with the help and promotion of the most famous, respected, and beloved celebrities and influencers in the world.
Moskowitz claims FTX implemented a “mastermind” marketing plan to promote its “scheme.” The lawyer quoted O’Neal in one of his videos for the crypto exchange. The NBA promoted the trading platform by stating the following, Garrison’s legal representation said:
Defendant Shaquille O’Neal, former professional NBA basketball star, sports analyst, and entrepreneur, also became an FTX ambassador, stating in a video posted on FTX’s Twitter account that ‘I’m excited to be partnering with FTX to help make crypto accessible for everyone. I’m all in. Are you?
At the time of writing, there is no official statement from the defendants. The crypto market continues to trend to the downside in the wake of FTX’s collapse.
Bitcoin, the largest crypto by market capitalization, lost support at around ,600 and recorded a new yearly low at about ,500. The general sentiment in the market leans towards fear as market participants expect further depreciation.
Web Developer Claims Ripple Allegedly Sued Him Over Fidget Spinners
Web developer Isaac Miller tells his story on allegedly getting sued by Ripple over a website he created selling fidget spinners. The San Francisco-based fintech firm alleges that Miller had infringed copyright and defrauded its customers.
Ripple Sends Cease And Desist Notice
Miller recounts what happened by saying several years ago; he noticed that the Ripple logo looked similar to a fidget spinner. Motivated by this insight, he had the idea of building a “silly website,” paying homage to this observation.
After building ripplefidgetspinner.com, Miller even went to the trouble of setting up the necessary APIs so the site could accept XRP as payment in exchange for fidget spinners.
“I set it up so it actually could accept XRP for fidget spinners. I was selling fidget spinners for Ripple currency. I thought it was hilarious.”
Although fidget spinners have gone the way of every fad before it, and the price of XRP is a lot less than in 2017, Miller left the website up and forgot all about it.
However, a few days ago, his hosting company contacted him, saying the Ripple legal team has been in touch to complain about the site. They allege Miller had infringed Ripple’s copyright and defrauded its customers.
“The lawyers at Ripple are issuing a cease and desist on me because of copyright claims. And they also claim that I was frauding their customers, and that I wasn’t a legitimate business, I was getting people to send me their XRP for no reason. I beg to differ. If someone sends me XRP I send them a Ripple fidget spinner.”
Miller Feels The Heat
Feeling aggrieved with the allegations, Miller contested the claims. Two days later, not only was ripplefidgetspinner.com taken down but so were all his other websites and even the sites he had created for clients.
“I was angry, I was livid. So I get Blue Host support on the line. I’ve used Blue Host for years. I get them on the line and say, “guys, what the heck, my sites have been taken down over a fidget spinner.””
Miller’s response was to spam the hosting company’s customer service, and eventually, he got his sites reinstated.
Sharing his thoughts on what he should do next, Miller thinks he will keep ripplefidgetspinners.com up. But make it even clearer that he has no affiliation with Ripple.
Source: XRPUSD on TradingView.com
Fidget Spinners Join The List of Fads That Came And Went
There have been many fads that have popularized culture. A brief rundown might include Beenie Babies, Rubrics Cube, Gangnam Style, yoyos; the list is endless. But fidget spinners were the thing in 2017.
At the time, it was rarer not to see a child spinning one. The palm-sized spinners consist of a ball bearing housed within a three-pronged plastic device. Spinning them is supposed to induce relaxation, stress relief, and aid concentration.
Many schools banned the device. However, some teachers and psychologists claim they can help behavior and learning, especially in cases of ADHD.
The fidget spinner inventor Catherine Hettinger did not receive a penny in royalties despite its global success. Unfortunately for Hettinger, she surrendered the patent in 2005 because she didn’t have the required 0 renewal fee.
Facebooks Calibra Sued by Mobile Banking App Over Similar Logos
The complaint alleges the Calibra logo is too similar to Currents, which the fintech firm has been using since August 2016.
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Bitmain, Roger Ver, Kraken Sued for Alleged Bitcoin Cash Hard Fork Manipulation
n UnitedCorp has launched a suit against Roger Ver and other major industry players for allegedly using unfair methods during the BCH network upgraden
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