The purchase of BitTorrent by TRON is shaping up to be a mistake. More than 3300 lawsuits have reportedly been filed against BitTorrent users.
TorrentFreak has collected data from court records in the US. The data shows that in less than 6 months, more than 3300 separate lawsuits were filed. According to the report from TorrentFreak, a large percentage of these cases list a single “John Doe” defendant.
Cases like this usually refer to a lawsuit filed against a person who downloaded content on the P2P BitTorrent protocol. This download was completed without the consent of the content creator.
TRON managed to acquire BitTorrent in an all-cash purchase. The price estimated to be just a little short of $126 million. TRON later launched the BitTorrent Token (BTT) on the Binance LaunchPad. A lot of people are now wondering if these lawsuits will somehow affect TRON.
BitTorrent is not endagering TRON in any way
The majority of the lawsuits are made against single John Does. This means that TRON is not in any way responsible or affected by the ongoing lawsuits. This is relatively a relatively new situation and most people aren’t exactly sure how the law works in cases like these.
Jaliz Maldonado at the National Law review quickly explained that:
“We have two sides. Lawyers, who sue on behalf of artists, content creators and media conglomerates. On the other side are the attorneys who have to defend the majority of people who knowingly or unknowingly downloaded copious amounts of content such as music files, movie files, games, apps, etc. Of course all the downloads occurred with the users not paying for the content in the first place.”
That leaves TRON unaffected since all the copyright infringement cases are filed against individuals. Of course with the lawsuits piling up, this doesn’t help TRON’s reputation. As a parent company TRON needs to take action or this will inevitably result in a decline in usage and demand for the main product.
If users feel they are at risk of being sued when downloading content, they will simply stop using it. Especially in a country like the United States, BitTorrent is bound to become unusable due to the very strict copyright laws.
Of course the huge increase in user activity and popularity of streaming platforms like Netflix and Spotify have pretty much removed the necessity of downloading content with torrent platforms.
The BitTorrent Token however, launched with a great demand from investors. The token sale concluded in a matter of minutes. Analysts however, have suggested that despite the huge interest in BTT, more casual users might encounter difficulties when using the token to perform various activities on the protocol.
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