{"id":79279,"date":"2026-10-09T10:40:09","date_gmt":"2026-10-09T10:40:09","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/crypto-com-privacy-case-dismissed-plaintiffs-get-second-chance\/"},"modified":"2026-10-09T10:40:09","modified_gmt":"2026-10-09T10:40:09","slug":"crypto-com-privacy-case-dismissed-plaintiffs-get-second-chance","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/crypto-com-privacy-case-dismissed-plaintiffs-get-second-chance\/","title":{"rendered":"Crypto.com Privacy Case Dismissed, Plaintiffs Get Second Chance"},"content":{"rendered":"<p><b>(Originally posted on : Bitcoin News )<\/b><br \/>\n<\/p>\n<div>\n<div class=\"@container mb-[25px] rounded-sm overflow-clip py-0.5 pr-0.5 pl-2.5 bg-success-100\">\n<div class=\"flex flex-col gap-m overflow-clip rounded-[6px] !bg-success-10 p-3 @[420px]:p-m\">\n<h2 class=\"m-0 flex items-center gap-s text-[19px] !text-[#1c1c1c] md:text-[20px]\"><svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"16\" height=\"10\" viewbox=\"0 0 16 10\" fill=\"none\" class=\"shrink-0 text-success-100\" aria-hidden=\"true\"><path d=\"M1 1.5h14\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><path d=\"M1 8.5h10\" stroke=\"currentColor\" stroke-width=\"2.5\" stroke-linecap=\"round\"\/><\/svg><span>Key Takeaways<\/span><\/h2>\n<ul class=\"m-0 flex list-none flex-col gap-m pl-0\">\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Judge Edward M. Chen dismissed a privacy class action against Crypto.com operator for lack of standing.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">The ruling enforces a high hurdle for Ninth Circuit web-tracking suits without sensitive data exposure.<\/span><\/li>\n<li class=\"m-0 flex items-start gap-s !text-[#434248]\"><span class=\"mt-2 size-2 shrink-0 rounded-full bg-success-100\" aria-hidden=\"true\"\/><span class=\"text-body\">Plaintiffs have 30 days to amend their complaint to show specific, highly sensitive data was collected.<\/span><\/li>\n<\/ul>\n<\/div>\n<\/div>\n<h2>Plaintiffs Alleged Comprehensive Profiling and Deceptive Tracking<\/h2>\n<p>A U.S. court dismissed a digital privacy class action against Foris Dax, the operator of the exchange Crypto.com, over third-party cookie tracking, ruling that allegations of online profiling and broken privacy promises do not establish constitutional standing.<\/p>\n<p>In an <a href=\"https:\/\/www.bloomberglaw.com\/public\/desktop\/document\/OrtizetalvForisDaxIncDocketNo325cv08950NDCalOct172025CourtDocket\/3?doc_id=X5GECBTF2H9JNQ7NNLGANSFTJ5\" target=\"_blank\" rel=\"noopener noreferrer\">order issued<\/a> Oct. 6, 2026, U.S. District Judge Edward Chen granted the defendant\u2019s motion to dismiss the plaintiffs\u2019 First Amended Complaint (FAC), but granted the plaintiffs 30 days to amend their claims.<\/p>\n<p>The lawsuit centers on claims that the defendant used third-party tracking cookies to monitor user behavior, share data, and create comprehensive consumer profiles reflecting user preferences and behavioral trends. Plaintiffs argued that these tracking practices violated their reasonable expectation of privacy, particularly given alleged assurances by the defendant that such tracking would not occur.<\/p>\n<p>Judge Chen rejected these arguments, emphasizing that Article III standing requires an actual, concrete injury resulting from the <a href=\"https:\/\/news.bitcoin.com\/technology\/secs-hester-peirce-wants-zero-knowledge-proofs-to-fix-kyc-system\/\">collection of sensitive personal information<\/a>.<\/p>\n<p>Addressing the plaintiffs\u2019 profiling claims, the court acknowledged that data disclosures enabling \u201ccradle-to-grave\u201d tracking can establish standing under Ninth Circuit precedent, such as In re Facebook, Inc. Internet Tracking Litigation. However, Judge Chen noted that the plaintiffs failed to allege that third parties actually collected or <a href=\"https:\/\/news.bitcoin.com\/regulation-and-legal\/big-banks-demand-identity-checks-for-secondary-stablecoin-markets\/\">deanonymized data<\/a> that was \u201cmaterially more sensitive\u201d than general, non-sensitive site activity.<\/p>\n<p>The court also addressed the plaintiffs\u2019 claims regarding misrepresentation and broken privacy pledges. While deceptive tracking can serve as a \u201cplus factor\u201d elevating conduct to a \u201chighly offensive\u201d privacy intrusion, Judge Chen held that deceit alone does not transform routine web tracking into an <a href=\"https:\/\/news.bitcoin.com\/security\/data-breach-hits-39798-safepal-customers-after-order-plugin-flaw\/\">actionable injury<\/a>.<\/p>\n<p>\u201cThe key is the sensitivity of the information collected,\u201d Judge Chen wrote, citing recent Ninth Circuit jurisprudence. Because the complaint did not demonstrate that particularly sensitive personal information was gathered, the court concluded that the plaintiffs lacked standing to sue in federal court.<\/p>\n<p>Also, because the court found it could not determine that further amendment would be futile, the dismissal was granted with leave to amend. Plaintiffs have until Nov. 5, 2026, to file an updated complaint addressing the standing deficiencies identified by the court.<\/p>\n<div class=\"not-prose my-3 lg:my-4\">\n<div class=\"overflow-hidden rounded-lg !bg-[#E8EDFA] p-[9px] hidden md:flex md:flex-row md:gap-3 lg:hidden\"><a aria-hidden=\"true\" tabindex=\"-1\" class=\"relative size-[150px] min-w-[150px] shrink-0 overflow-hidden rounded-[15px]\" href=\"https:\/\/news.bitcoin.com\/crypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown\/\"><\/p>\n<div class=\"absolute left-2 top-2\"><img alt=\"Bitcoin.com News\" loading=\"lazy\" width=\"28\" height=\"28\" decoding=\"async\" data-nimg=\"1\" class=\"size-7\" style=\"color:transparent\" srcset=\"\/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=32&amp;q=75 1x, \/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=64&amp;q=75 2x\" src=\"https:\/\/news.bitcoin.com\/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=64&amp;q=75\"\/><\/div>\n<p><\/a><\/div>\n<div class=\"overflow-hidden rounded-lg !bg-[#E8EDFA] p-[9px] hidden lg:flex lg:flex-row lg:gap-4\"><a aria-hidden=\"true\" tabindex=\"-1\" class=\"relative size-[150px] min-w-[150px] shrink-0 overflow-hidden rounded-[15px]\" href=\"https:\/\/news.bitcoin.com\/crypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown\/\"><img alt=\"Crypto.com Prediction Exchange Seeks Federal Shield Ahead of Washington Crackdown\" loading=\"lazy\" decoding=\"async\" data-nimg=\"fill\" class=\"object-cover\" style=\"position:absolute;height:100%;width:100%;left:0;top:0;right:0;bottom:0;color:transparent\" sizes=\"150px\" srcset=\"\/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=32&amp;q=75 32w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=48&amp;q=75 48w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=64&amp;q=75 64w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=128&amp;q=75 128w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=256&amp;q=75 256w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=384&amp;q=75 384w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=640&amp;q=75 640w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=828&amp;q=75 828w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=1080&amp;q=75 1080w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=1200&amp;q=75 1200w, \/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=1920&amp;q=75 1920w\" src=\"https:\/\/news.bitcoin.com\/_next\/image\/?url=https%3A%2F%2Fstatic.news.bitcoin.com%2Fwp-content%2Fuploads%2F2026%2F07%2Fcrypto-com-prediction-exchange-seeks-federal-shield-ahead-of-washington-crackdown-150x150.jpg&amp;w=1920&amp;q=75\"\/><\/p>\n<div class=\"absolute left-2 top-2\"><img alt=\"Bitcoin.com News\" loading=\"lazy\" width=\"28\" height=\"28\" decoding=\"async\" data-nimg=\"1\" class=\"size-7\" style=\"color:transparent\" srcset=\"\/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=32&amp;q=75 1x, \/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=64&amp;q=75 2x\" src=\"https:\/\/news.bitcoin.com\/_next\/image\/?url=%2Fimages%2Fuploads%2Fbitcoin_news_newlogo.svg&amp;w=64&amp;q=75\"\/><\/div>\n<p><\/a><\/p>\n<div class=\"flex min-w-0 flex-1 flex-col justify-center gap-2\">\n<p class=\"m-0 line-clamp-2 text-base leading-[1.3] !text-[#67656E]\">The Crypto.com-affiliated exchange behind OG has sued Washington officials before the state takes enforcement action against its prediction markets. The\u2026<\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<p><a href=\"https:\/\/news.bitcoin.com\/regulation-and-legal\/crypto-com-privacy-case-dismissed-plaintiffs-get-second-chance\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Bitcoin News ) Key Takeaways Judge Edward M. Chen dismissed a privacy class action against Crypto.com operator for lack of standing. The ruling enforces a high hurdle for Ninth Circuit web-tracking suits without sensitive data exposure. Plaintiffs have 30 days to amend their complaint to show specific, highly sensitive data was [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":79280,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[32],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/79279"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=79279"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/79279\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/79280"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=79279"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=79279"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=79279"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}