Despite the restrictions imposed by Bitfinex on the purchase of LEO tokens by US residents, several investors from overseas were able to purchase them through third parties.
In particular, investment in LEO tokens was made by Arrington XRP Capital from Seattle and Arca from Los Angeles.
Representatives of both firms confirmed that they acquired legally valid tokens through third parties.
So, Arrington XRP Capital partner Michael Arrington said that although the company is registered in the Cayman Islands, he is a US citizen. It is for this reason that LEO tokens were purchased from a third party.
Arca, whose investment director, Jeff Dorman, also has an American passport, was registered in the same situation in the British Virgin Islands.
Earlier in July, the New York State Attorney’s Office (NYAG) filed new accusations against Bitfinex and Tether. This time, the agency saw signs of unregistered securities in UNUS SED LEO tokens. Also, representatives of the department claim that, despite the statements of Bitfinex that it does not work with investors from New York since the middle of 2018, the platform still provided services to residents of this state.
Bitfinex lawyer Stuart Hogner issued a statement this week stating that NYAG had misled the State Supreme Court by exaggerating the site’s links with New York residents.
The lawyer also pointed out that Tether served Bitfinex in 2017 and followed the exchange’s user policy, which, since January 30 of the year mentioned, prescribed a ban on working with residents of New York.