• Investment firm Albright Capital has voluntarily dismissed its fraud charges against the failed Terraform Labs and its executives including Do Kwon.
• Albright Capital’s lawsuit alleged Terraform Labs and its executives had engaged in the deceptive promotion of UST, LUNA, and other Terra cryptocurrencies.
• 3AC co-founder Zhu Shu appears to have called the attention of crypto media outlets to the recent Albright and Terra lawsuit development.
Investment firm Albright Capital has decided to dismiss its fraud charges against the failed Terraform Labs and its executives including Do Kwon. The class action had previously accused the executives of deceptively promoting the UST, LUNA, and related Terra cryptocurrencies, as well as withdrawing funds from the Terra ecosystem for their personal gains.
The motion to dismiss the lawsuit was filed on the 9th of January, and was accepted by the court shortly after. Other defendants in the class action included Luna Foundation Guard, Delphi Digital, Jump Trading, Nicholas Platias, Jose Macedo, Kanav Kariya, and Remi Tetot.
The news of the sudden dismissal has been brought to the attention of the crypto media outlets by Three Arrows Capital (3AC) co-founder Zhu Shu. He tweeted on the 10th of January that he was “curious how long it will take cryptonative media to report on this sudden voluntary dismissal of class action again”.
While the dismissal motion was accepted by the court, it is still unclear as to why Albright Capital decided to drop the legal action. This has left many speculating as to what the underlying reasons behind their decision might have been.
The news of the dismissal has certainly been welcomed by the crypto community, as it comes at a time when the sector is facing increased scrutiny from regulators. It is hoped that this development will lead to more clarity and transparency in the crypto industry, and will pave the way for more projects to develop and succeed.