Tezos Foundation Decides to Settle Multiple Lawsuits to put Behind “Meritless” Legal Battles

Over the past three months, Tezos Foundation’s XTZ has been one of the most successful altcoins in the space. The asset entered the top ten cryptocurrency list as well ousting the likes of Cardano, Stellar and Tron on the way.

However, things haven’t always been completely smooth sailing for the foundation.

After conducting an incredibly profitable ICO of $232 million back in 2017, the situation got worse in July 2018, as the foundation was slapped with multiple lawsuits, claim that the ICO was an illegal and unregistered securities offering.

Now, according to a recent blog post on Tezos Foundation, the organization has entered into a settlement of all the class-action lawsuits. The blog post read,

“The Tezos Foundation chose to settle all claims because the Tezos Foundation believes it is in the best interest of the Tezos project and community as a whole. The Foundation continues to believe the lawsuits were meritless and continues to deny any wrongdoing.”

The foundation also emphasized on the fact that class-action lawsuits were intensely cost-heavy and time-consuming with deters the development of the space. Hence they agreed on a one-time financial payout for the settlement rather than continuing legal battles in the courts and carrying the brunt of the expenses.

The settlement is currently pending approval from California state and federal courts.

Tezo’s Rise Since November

Tezos first burst onto the scenes back in November 2019, when the asset registered a growth of 55 percent, incurring a substantial rise in terms of its market value within 7 weeks. During the same period, major assets such as BTC and ETH suffered massive dips but XTZ maintained its periodic rise.

A report suggested that the periodic rise was due to the increasing number of addresses with small balances of Tezos, which could have contributed to the rise in valuation.

The data indicate that from the period of August 2019 to December last week, the number of addresses hiked from under 60,000 to over 100,000, indicating a growth of almost 30+ percent.

On December 15th, the number of addresses with 0.1 XTZ had increased over 105,000. Earlier, Coinbase has also exhibited its support for Tezos staking on its platform, which may have boosted its market value as well. Taking a leaf out its book, Kraken and Binance followed its path as well, and the potential in the Tezos foundation was identified.

With major exchanges extending their commitment to the foundation, it is imperative for the organization to clear out its legal battles in order to sustain development for the virtual asset.

 

Utkarsh Gupta: Professional journalist with a proven experience of working in the online media industry. Experienced in Web Content Creation, Editing, Publishing, Journalism, and Creative Writing.