The United States appeals court declared that the rationale given by the district court for dismissing the lawsuit against crypto exchange Binance was “erroneous.”
A United States appeals court has overturned a ruling that dismissed a class-action lawsuit led by investors against cryptocurrency exchange Binance. The investors claimed they were deceived into thinking they were buying cryptocurrency tokens registered as securities.
According to a filing on March 8 with the United States Court of Appeals for the Second Circuit, the district court’s ruling, which dismissed investors’ allegations of transparency issues in Binance’s sale of securities, has been overturned in favor of the investors.
“We hold that each of the district court’s bases for dismissing Plaintiffs’ claims that are before us on appeal was erroneous,” the filing stated.
