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Business & Finance

Cryptocurrency Investor Sues Company and Company Sues Cryptocurrency Company

Terpin has sued AT&T after losing $24 million worth of cryptocurrency which he blames entirely was AT&T’s fault.

Michael Terpin is a well known bitcoin investor and founder of BitAngels and dApps Venture Fund. He has litigated AT&T for about $224 million after losing his cryptocurrency. He is pursuing the case at District Court of LA and has filed a 69-page report against the negligence and flaw by cellular service company.

Terpin claims that AT&T unethically provided a hacker with unauthorized access to his number which led to the mishap of fraud. He explained that hacker had a partner, who managed to convince AT&T’s store employee for granting them the access of his phone number. Terpin stated that without authentication or validation process, the hacker was simply handed with the access and info he needed.

Terpin regards the incident as ‘digital identity theft’ and claims that the hacker was given an easy way to fulfill his mission. He explained the misconducts by the company in the entire procedure. Moreover, he added a scenario in his statement that demonstrated the role AT&T played. He said:

AT&T’s willing cooperation with the hacker, gross negligence, violation of its statutory duties, and failure to adhere to its commitments in its Privacy Policy…….What AT&T did was like a hotel giving a thief with a fake ID a room key and a key to the room safe to steal jewelry in the safe from the rightful owner.

Terpin has occasionally stated the advancement of technology in today’s world. He is a popular Bitcoin investor with optimistic prospects for Bitcoin. According to him, he is in an era where only serving consumers is left. Previously, he had said:

I think now we are the moment in Bitcoin where enough of the infrastructure has been built up we can serve the consumer.

Similarly, he was seen satisfied with security protocols as well. He considers present era as almost full on potential regarding security and protection as compared to the time when he was introduced to bitcoin. He had shared his views in this regard.He said:

Today we are dramatically further ahead in terms of quality of wallets and security and Two-Factor Authentication and multi-signature. This is all the stuff that didn’t exist or was very nascent when I first got into Bitcoin in the first part of 2013.

 

Despite firm believes, he himself was subjected to security breach that caused him a great loss. Maybe the misfortune of event will mutate his previously established views, but now he is more concerned for seeking $200 million in punitive damages from AT&T.

In another news, a company sued a cryptocurrency company for failing to work out a crypto platform. Recently, Playboy was looking forward to initiate cryptocurrency platform through Playboy.tv but couldn’t do so because of Global Blockchain Technologies, cryptocurrency firm listed on the Canadian Securities Exchange (CSE).

Playboy has filed a lawsuit for the breach of contract by Global Blockchain Technologies. The lawsuit states that both parties had a meeting earlier in the month of March and came to an agreement. According to the agreement, Global Blockchain Technologies was compelled to develop a wallet, so Playboy could offer its users with the option of cryptocurrency as mode for payment. This is quite evident from company’s announcement after agreement. The announcement stated:

The company is developing an online payment wallet that will support a number of cryptocurrencies across the company’s online media, digital and casual gaming businesses.

Playboy was confident on introducing vice industry token (VIT) and other leading cryptocurrency tokens for Playboy.tv that currently advertises handful of 80 TV shows and over 2,000 episodes. Particularly, VIT was chosen as well because of its market cap of $7 million after its launch in April. Global Blockchain Technologies reported in May that it was developing a wallet that supported VIT so user’s could reach for Playboy’s exclusive content via a wallet. But unfortunately, the agreement ended on a low as Global Blockchain Technologies failed to do so.

So now, Playboy is seeking for compensation in return for the failure of Global Blockchain Technologies to meet the agreement. Playboy in the lawsuit states:

 GBT [Global Blockchain Technologies] hasn’t made good on the deal and also failed to pay the $4 million it promised as part of the agreement.

This shows that Playboy is not satisfied with the promises and agreements made by Global Blockchain Technologies. The handshake that looked as a innovating potential has now turned in to a bad relation, so bad that it will be seeing lawful proceedings soon.

Fatir Malik

Electrical engineer by profession, turned into blockchain developer. Fatir contributes regularly with his insights about latest developments in fintech sector. Contact the editor at editor.opinions@blockpublisher.com

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