Tether, the issuer of the popular stablecoin USDT, has filed a lawsuit against Swan Bitcoin in the High Court of England and Wales, accusing the firm of breaching their contract in a joint Bitcoin mining venture. The dispute revolves around 2040 Energy, a mining project launched in 2022, in which Tether holds an 80% stake, while Swan owns 20%.
Tether, along with co-claimant 2040 Energy Limited, claims that Swan’s actions have violated the terms of their agreements, prompting the legal action to safeguard their investment. Tether asserts that it has met its contractual obligations, accusing Swan of misconduct. Swan, while acknowledging the lawsuit, has chosen not to comment in detail but stated it would “vigorously defend” its position.
The lawsuit escalates tensions between the two companies, which have been embroiled in legal disputes since September. In that month, Swan filed its own lawsuit against former mining employees and contractors, accusing them of stealing proprietary information to form a rival entity, Proton Management. Although Tether was not named in that case, its involvement in the UK lawsuit highlights the growing friction between the two firms.
The dispute centers on the management and operations of 2040 Energy. Swan’s earnings from the venture were contingent upon the project recouping the initial investments made by Tether, as outlined in court documents and investor materials. Swan had previously referred to an employee walkout as a “corporate coup,” alleging a conspiracy to seize control of its mining operations.
Now, with Tether’s lawsuit raising further questions about the venture’s management and Swan’s standing, the legal battle is set to continue as both parties prepare for a contentious courtroom showdown.
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