A Texan woman named Divya Gadasalli who lost $8 million in a pig butchering scheme cannot hold Binance, the world’s largest cryptocurrency exchange accountable, according to a ruling made by United States District Judge Amos Mazzant. The judge dismissed the lawsuit brought forward by Gadasalli on May 22, which claimed that Binance aided the scammer to steal the $8 million, who approached Gadasalli on dating app Tinder. Binance contested that there was no personal jurisdiction in the case and that the plaintiff failed to state any claims. Gadasalli’s lawyers requested the court to investigate the relationship between Binance and Binance US but the court denied their request.
Gadasalli was lured into investing in a non-existent cryptocurrency scheme by Jerry Bulasa on Tinder, who promised her romance, and financial prosperity through “pig butchering fraud.” His fraudulent scheme was organized with two other defendants, Dong Lian and Danyun Lin. Gadasalli eventually discovered that she had lost the $8 million that she had invested and, therefore, filed a lawsuit against Bulasa and Binance.
Binance has been under scrutiny from United States regulators for operating a derivatives trading platform without registration and violating existing trading laws. CFTC sued the exchange in March, while the SEC is currently investigating whether Binance violates securities law and the IRS is investigating possible tax evasion claims. Despite these issues, the Binance ecosystem’s native currency, BNB, appears to remain steady and bullish. Currently, BNB is trading above $300 and 15% up from March 2023 lows, which indicates gains from March 2023.