Tezos organisers face second lawsuit over cryptocurrency fundraising
The technology project, Tezos, raised USD $232 million to create a cryptocurrency which does not exist and fund development for transaction operations which has no precise end date.
A second lawsuit has been filed this week against the organisers of Tezos.
The second lawsuit was filed in a U.S. District Court in Florida by Coral Springs-based law firm Silver Miller. The lawsuit alleges that Tezos organisers broke U.S. securities laws and misled and defrauded consumers in the online fundraiser, according to other court documents.
Participants who put money towards the initial coin offering see themselves as investors however the funds were raised as non-refundable donations. The defendants are the co-founders of the project, Kathleen and Arthur Breitman. The defendant also include Dynamic Ledger Solutions Inc based in Delaware, which owns the rights to the transaction systems code and the Tezos Foundation is a Swiss firm which was initially set up to carry out the fundraiser.