US judge dismisses LIBRA class action against Meteora and Kelsier
CIE News ·
A federal judge dismissed a class action lawsuit over the Milei-promoted LIBRA token against Kelsier Ventures and Meteora, ruling the DeFi protocol operates as software and cannot be sued.
A U.S. federal judge dismissed a class action lawsuit against organizer Kelsier Ventures and DeFi protocol Meteora regarding the LIBRA token on October 2, 2026, according to bitcoin.com. U.S. District Court Judge Jennifer L. Rochon dismissed claims including fraud, RICO Act violations, and unjust enrichment, while also denying the plaintiffs' request to file an amended complaint.
According to bloomingbit.io, the court found that Meteora constitutes software rather than an unincorporated association or legal partnership, meaning it could not be sued. Claims against Meteora developer Benjamin Chow were also dismissed after the court concluded that technical assistance and protocol transaction fees did not demonstrate fraudulent intent. Furthermore, the court held that an alleged six-month scheme failed to meet the continuity required for RICO violations.
The class action followed losses suffered by an estimated 44,000 retail investors after the Solana token's launch and subsequent insider selloff, according to bitcoin.com. Argentine President Javier Milei had promoted the token's contract address on social media prior to the drop, though he later denied liability by comparing meme coin speculation to gambling at a casino.