Hayden Davis, creator of the LIBRA token, has now described the crypto challenge as a memecoin in a latest court docket submitting as a part of a authorized technique to counter a class-action lawsuit. The American crypto entrepreneur and marketer continues to attract adverse consideration and stays beneath investigation following the extremely questionable launch and crash of LIBRA in February 2025.
Davis’ Conflict With US Non-public Investor Forces LIBRA Memecoin Admission – Report
The LIBRA challenge gained a lot recognition following public promotion by Argentine President Javier Milei on X, on February 14, 2025. The crypto token’s worth soared to $5 in a couple of hours following its launch earlier than plummeting to just about $0. Since then, the nation’s chief has distanced himself from the crypto challenge whereas even authorizing an investigation into the occasion by the nation’s anti-corruption workplace.
In line with native Argentine media Clarin, Omar Hurlock, a US personal investor, by American regulation agency Burwick Regulation, has since initiated a class-action lawsuit towards Hayden Davis and different individuals behind LIBRA, together with Benjamin Chow, co-founder of the Meteora platform, and Julian Peh, head of Kip Protocol.
In a 30-page defence towards Hurlock’s claims of operating a rip-off, Hayden Davis states the US investor has no proof to again the complaints of ever buying tokens from him or different builders of the crypto challenge. Specifically, Davis assaults Hurlock’s credibility to steer a category motion in a case he isn’t a direct sufferer.
Moreover, the crypto entrepreneur additionally publicly refers to LIBRA as a memecoin for the primary time because the incident in February. Earlier than this assertion, the cryptocurrency had been beforehand described by all events concerned as an funding fund focused at financing Argentine firms.
In ascribing memecoin standing to LIBRA, the defendant emphasizes the speculative nature of this token whereas additionally claiming no guarantees had been made to potential traders. A press release from the temporary reads:
Defendants offered no plans, particulars, or infrastructure to potential purchasers of the memecoin, nor did they supply detailed disclosures or tokenomic distribution data relating to how the funds raised could be allotted to satisfy the [allegedly] promised financial initiatives
The case is presently filed on the District Court docket for the Southern District of New York beneath Decide Jennifer L. Rochon and is scheduled for a listening to on August 19. The end result of this lawsuit can be anticipated to affect the standing of $250 million in frozen belongings, that are linked to earnings from the LIBRA challenge.
Worth Overview
At press time, LIBRA trades at $0.01690 with its complete market cap valued at $4.61 million.
Featured picture from The Economist, chart from Tradingview
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