The cryptocurrency exchange Uphold requests the court to dismiss the lawsuit allegations made by the Cred liquidation trustee

ChainCatcher news, according to Cointelegraph, the cryptocurrency exchange Uphold filed a motion during a court hearing on January 11 to dismiss all allegations in the lawsuit brought against the company by the Cred liquidation trustee last June. The Cred liquidation trustee claims in the lawsuit that Uphold collaborated with Cred co-founders to promote the financial product CredEarn, alleging that Uphold owes CredEarn $783.9 million, and accuses Uphold of "aiding and abetting Cred co-founders Daniel Schatt and Lu Hua, as well as other executives associated with the CredEarn project, in breaching their fiduciary duties."

In the motion to dismiss the case, Uphold stated that the allegations of the Cred trust are "incoherent, conclusory, and conspiratorial," urging the Delaware bankruptcy court to dismiss these claims. "Furthermore, Uphold denies the allegations of knowledge of Cred's risks, stating that Cred is fully independently owned and operated."

It is reported that Cred is a cryptocurrency lending company that filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code in November 2020. In June 2022, Cred's liquidation trust filed a lawsuit against Uphold and two affiliated companies. (Cointelegraph)