On April 24, 2020, a class action lawsuit against Bitfinex and Tether was dismissed by the U.S. District Court for the Southern District of New York. The lawsuit had been brought by a group of investors who alleged that the companies had manipulated the cryptocurrency market by issuing billions of dollars’ worth of unbacked Tether tokens.

The lawsuit was filed in October 2019 and alleged that Bitfinex and Tether had engaged in a “multi-year scheme” to manipulate the cryptocurrency market. The plaintiffs argued that Bitfinex had used Tether tokens to artificially inflate the price of Bitcoin and other cryptocurrencies. They also alleged that Bitfinex had used Tether tokens to cover up losses from its own trading activities.

In its ruling, the court found that the plaintiffs had failed to show that they had suffered any actual damages as a result of the alleged manipulation. The court also noted that the plaintiffs had not provided sufficient evidence to prove their claims.

The dismissal of the class action lawsuit is a major victory for Bitfinex and Tether. The companies have long maintained that their activities are legal and compliant with all applicable laws and regulations. This ruling further reinforces their position that they have not engaged in any wrongdoing.

The dismissal of the class action lawsuit is also a major victory for the cryptocurrency industry as a whole. The lawsuit had raised concerns about the legitimacy of cryptocurrencies and the potential for manipulation in the market. With this ruling, it is clear that cryptocurrencies are not subject to manipulation and that investors can feel secure in their investments.

Overall, the dismissal of the class action lawsuit against Bitfinex and Tether is a major victory for both companies and the cryptocurrency industry as a whole. It is a clear sign that cryptocurrencies are legitimate investments and that investors can feel secure in their investments.