A ruling was issued in the Celsius v Tether case allowing Celsius’ $4 billion lawsuit against Tether to proceed.
Peter Vas, partner at law firm Spencer West LLP, said in emailed commentary, that the ruling “marks a pivotal moment that could potentially reshape the legal landscape for cross-border cryptocurrency disputes by reinforcing that US Courts may assert jurisdiction if the alleged misconduct involves US based communications, personnel or financial accounts, irrespective of the jurisdiction of incorporation of the alleged wrongdoer”.
“This development will clearly be of concern to offshore cryptocurrency firms incorporated in the British Virgin Islands and elsewhere that must carefully navigate jurisdictional exposure and ensure rigorous governance to avoid costly litigation in the USA. It also serves as a timely reminder that contractual obligations must be clearly drafted to reflect the commercial objectives of the parties,” said Vas.