A United States judge recently dismissed a lawsuit against the decentralized finance (DeFi) platform PoolTogether. According to the ruling, the federal court system is not the correct place to air concerns against the DeFi startup.
CASE DISMISSED!!!!
https://t.co/HDApQZe3Sx pic.twitter.com/SjcDnMnLIV
— Leighton (@lay2000lbs) June 7, 2023
U.S. district court Judge Frederic Block said that despite having genuine concerns about the startup, a lawsuit in a federal court is not “an appropriate way to address them.“ The judge also said that the plaintiff, Joseph Kent, does not have standing to pursue a lawsuit because he “suffered no concrete harm at the hands of the defendants.” The court order stated:
“Therefore, the Court holds that Kent lacks standing to sue and, accordingly, grants the defendants’ motions to dismiss on that ground. The alternative motions to compel arbitration are denied as moot.”
The lawsuit was filed by Kent back in October 2021, alleging that the DeFi startup violated gambling laws in New York state by letting people evade financial regulations and scam consumers. It also described the platform as “an old-fashioned numbers racket.”
However, according to the judge, the injury that Kent claims to have suffered…
