I reckon this Tezos lawsuit will be made the
prima donna of all ICO and illegal token sales in America. I hate ICO scams the same as the most of you, but it would be important for the cryptospace if Tezos was to win the lawsuit to set a good precedent for a less regulated and democratized way for funding new startups.
The dispute, launched by plaintiff Arman Anvari is based on whether the Tezo’s creators actually held an ICO. According to the docket, the Breitmans referred to their ICO as a fundraiser, and purposely did not use such terminology such as ICO during their token sale. The defendants are therefore accused of violating the U.S Securities Commision (SEC) regulations as the lawsuit will determine whether they held an unregistered securities sale in the U.S. The judge dismissed the Breitmans’ motion that their “fundraiser” fell out of SEC’s jurisdiction because it was administered by the Tezos Foundation, which is based in Switzerland.
The judge also noted that the Anvari’s token purchase was hosted on a server located in Arizona, and that their marketing efforts almost “exclusively targeted US residents.”
The plaintiff, Arman Anvari had named several people in his suit, including Tim Draper who is a venture capitalist who publicly backed the project and invested $500,000 (USD) for a ten percent share of DLS. Draper has been dismissed with a leave to amend, meaning that he may still be named if new information is provided to the court exemplifying how the plaintiff was persuaded to buy Tezos coins based on Draper’s recommendation. Another firm, Bitcoin Suisse AGO was used to provide intermediate transactions between Tezos and their investors. Bitcoin Suisse has been completely dismissed as a defendant as their involvement is not substantial.Read in full https://www.chepicap.com/en/news/2778/class-action-suit-continues-for-tezos-token-creators.html
