Reading: Nano (NANO) Faces Class Action Lawsuit, May Need to ‘Rescue Fork’

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Nano (NANO) Faces Class Action Lawsuit, May Need to ‘Rescue Fork’

Adam James · @Shasdam | Apr 10, 2018 | 19:30

Coincheck Lawsuit: Crypto Exchange Hit With Second Class Action After $530 Million Hack News

Nano (NANO) Faces Class Action Lawsuit, May Need to ‘Rescue Fork’

Adam James · @Shasdam | Apr 10, 2018 | 19:30


The law firm of Silver Miller has launched yet another lawsuit against a digital currency company. This time, they are suing Nano and responsible individuals for their role in ushering investors to BitGrail, the popular cryptocurrency exchange which inexplicably lost $170 million of investor funds in February.


Compensation Required

Silver Miller has launched new class action lawsuit against Nano – formerly known as RaiBlocks (XRB) – and key members of the cryptocurrency’s team.

The lawsuit comes less than two months after popular cryptocurrency exchange BitGrail reported a loss of 17 million Nano – valued at over $170 million at the time of the supposed hack. However, at the time of the incident, conflicting reports also surfaced suggesting the exchange to be insolvent for a number of months.

According to the plaintiff, Nano and individual team members “engaged in an unregistered offering and sale of securities that violated federal securities laws, including Sections 5, 12(a), and 15 of the Securities Act of 1933.”

Furthermore, Silver Miller claims that the cryptocurrency company is responsible for directing investors to Bitgrail. Notes a press release from the law firm:

Nano and key members of its core team violated federal securities laws and that, in their push to introduce XRB to a wide market of investors, recklessly directed investors to open accounts and place their assets with a little known, and troubled, Italian cryptocurrency exchange called BitGrail, where $170 million of the investors’ XRB allegedly “disappeared” in February 2018.

The Lawsuit also puts forth the request that Nano be legally ordered by the Court to “rescind the plaintiff class’ investments in XRB and require Nano to “rescue fork” the allegedly missing XRB into a new cryptocurrency in a manner that would fairly compensate the class of victims.”

 

Fighting the Good Fight

Silver Miller is well-known for taking legal action against cryptocurrency companies and exchanges.

The legal office currently has an active class action lawsuit against the San Francisco-based cryptocurrency exchange Coinbase, which alleges that “the exchange’s lack of security protocols facilitated the laundering of over $8,300,000.00” of stolen bitcoin.

Silver Miller also has an active $2.5 billion class-action lawsuit against U.K.-based cryptocurrency exchange BitConnect International PLC, in which it represents “victims in multi-level-marketing Ponzi scheme alleging unregistered sale of securities, conversion, and civil conspiracy between exchange and its army of social media promoters.”

Do you think Nano should be forced to hardfork as a means of paying back those who lost funds to BitGrail in February? Let us know in the comments below!


Images courtesy of Shutterstock, Bitcoinist archives.


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