Nano to Square Up Against Second Class-Action Lawsuit After BitGrail Attack for Securities Act Violations
Almost after a year of the attack experienced by the cryptocurrency exchange BitGrail, Nano’s developers are facing a new class action lawsuit. In this lawsuit, there are several parties involved including Nano, Bitgrail, Francesco Firano and others. Nano has been affected by a hack experienced by the BitGrail platform a year ago. Users lost several millions of dollars in Nano coins. Back at that moment, Nano was called RaiBlocks (XRB). The exchange lost more than $170 million in XRB tokens.
BitGrail was the most important exchange for Nano. Users traded their coins in this exchange because it offered higher liquidity than other platforms. However, Nano developers distanced themselves from BitGrail alleging that the exchange experienced an attack due to some issues on its platforms. Since this situation happened, Binance became the most important platform for trading Nano tokens.
There was also a possibility to fork the coin and recover the funds stolen. The lawsuit explains that defendants can rewrite the XRB code and restore ownership to Plaintiff and the Class to protect their property rights. Nevertheless, the defendants did not want to implement that strategy.
Furthermore, this lawsuit only represents the U.S. investors. This means that victims from other countries would have to write another lawsuit on the matter. It is difficult to understand how regulatory agencies will consider their position with the U.S. Securities and Exchange Commission (SEC).
Investors want their XRB back and a pre- and post-judgment interest and ‘equitable compensation’ for losses incurred.
Currently, Nano is the 42nd largest digital asset. Each coin can be purchased for under $1 and it has a market capitalization of $132 million. Before the hack, Nano reached an all-time high of more than $37. A few weeks ago Nano was traded close to $0.9 per coin.