Solana Labs has been slammed with a class-action lawsuit in California
Solana Labs, a non-profit organization behind the Solana blockchain, has been hit with a class-action lawsuit that was filed in the state of California.
The lawsuit could have massive implications for the cryptocurrency industry since Mark Young, the lead plaintiff, alleges that the SOL token is an unregistered security. It adds that the defendants spent vast sums of money promoting SOL securities.
Young has accused Solana Labs of making “deliberately misleading” statements about the circulating supply of SOL securities.
The plaintiff also claims that the blockchain is not decentralized (contrary to the defendants’ public representations).
Young wants the court to award him and other class members damages “in an amount to be proved at trial.”