Nano seeks $701K damages over “baseless” claim

Thu 05 Aug 2021 ▪ 13h06 ▪ 2 min de lecture - par Felix Meyer

Developers of cryptocurrency Nano (XRB) have filed a petition to the California federal court seeking $701,000 (~£504,000) in attorney fees and costs following a “baseless” class action.

The Nano team asserts that the lawsuit by a token buyer, Alec Otto, and the following class action were filed too late. Moreover, the claims were “baseless”, having contained allegations unsupported by evidence and “legally meritless” arguments, according to the developers.

Earlier, Alec Otto accused Nano of fraud combined with violating securities laws, which allegedly led to the loss of millions of tokens during the BitGrail exchange hack.

In response, the company’s legal team requested additional inquiry to determine whether sanctions against Otto and his lawyer would be appropriate. According to media reports, Nano believes a counterclaim is reasonable since Otto’s grounds appear to be rather deficient:

“It became clear from Mr. Otto’s deposition testimony that his counsel made up the dates and amounts of XRB Mr. Otto was alleged to have purchased on BitGrail and the amount he was alleged to have lost as a result of the exchange’s closure.”

“Mr. Otto’s deposition testimony revealed that he has no idea how many XRB he purchased, when he purchased them, or how many were left on BitGrail when it closed.”

Another law drama is coming. Following a class action filed by Alec Otto, the Nano team petitioned the California federal court for $701,000 (~£504,000) in damages, naming the lawsuit as “baseless”. It remains to be seen whether Nano can retrieve the money it is so rigorously seeking.

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Felix Meyer

Le trading et l'analyse technique sont mes spécialités depuis 4 ans. Je décortique le marché et vous partage mon expertise.

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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.