TL;DR Breakdown
- Exchange opts out of defamatory lawsuit against Forbes.
- Exchange commits to remaining law-abiding.
The number one crypto exchange globally with the largest market capitalization, Binance has quietly dropped a lawsuit it slammed against Forbes magazine. The media firm was dragged to court by Binance after they published an article alleging that the exchange purposely tried to evade U.S regulators. Two journalists were dragged to court alongside Forbes.
The exchange, which has not said anything about the lawsuit since was filed, voluntarily dismissed the lawsuit in a U.S. district court in New Jersey on the 4th of February, according to a notice. The filing contains no explanation for the withdrawal of the lawsuit. It only stated that Binance voluntarily dismissed without prejudice against Defendants Forbes Media LLC, Michael del Castillo, and Jason Brett.
Forbes publication that led to Binance lawsuit
In October 2020, Forbes published an article titled; Leaked ‘Tai Chi’ Document Reveals Binance’s Elaborate Scheme To Evade Bitcoin Regulators.
“Binance Holdings Limited, the world’s largest cryptocurrency exchange conceived of an elaborate corporate structure designed to intentionally deceive regulators and surreptitiously profit from crypto investors in the United States,” the first paragraph of the story read.
The story was based on a document which allegedly leaked from one of the exchange’s former employees. The entire content of the story angered the leading exchange’s legal team, and resulted in them dragging Forbes to court. The exchange claimed the publication cost them millions of dollars in material damages. They also said the story contains numerous false, misleading, and defamatory statements about the exchange.
Exchange commits to remain law compliant
The firm’s spokesperson, who talked about the publication and lawsuit, said all allegations made in the story were false and misleading. He also stated that Binance was committed to complying with all applicable laws and regulations.
The spokesperson said they would stop pursuing the case against Forbes to provide the best service to its users.
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