TRON founder acquires BitTorrent following lawsuit
The operator of torrent client uTorrent, BitTorrent Inc., is in the process of being acquired by TRON founder Justin Sun.
According to a report by TorrentFreak on Friday, the TRON founder is currently finalizing the handover.
Justin Sun had sued BitTorrent Inc. earlier this year, for reportedly infringing a “No Shop” clause from a letter of intent he signed in January.
Sun’s lawsuit against BitTorrent, which changed its name to Rainberry in 2017, notes that after the letter of intent was signed, the company broke the contract.
According to the TRON founder, BitTorrent’s David Chao told Sun that the firm had three “superior” bids from other companies with which they negotiated.
Sun made a request for BitTorrent to be issued with a restraining order to cease communications with other potential buyers.
Mr. Sun’s request was dismissed in court, however.
Sun reportedly registered a holding company called “Rainberry Acquisition” at the same time the exclusivity period of the letter of intent ended at the end of February, according to TorrentFreak.
TorrentFreak reports that BitTorrent confirms the acquisition has yet to be finalized.
Justin Sun has not made a statement confirming or denying the acquisition at the time of press.
The TRON Foundation is due to launch the Tron Mainnet in just five days time.
TRON TRX currently has a market cap of around $4.6 billion and is currently ranked as the ninth largest crypto on Coinmarketcap.
At the time of press, TRX is down by around three percent over a 24-hour period and is trading at around $0.07, according to the live price charts.
As TorrentFreak notes, TRON’s Mainnet aims to “decentralize the web,” with torrents.
This intention is mentioned directly in the TRON whitepaper and aligns with BitTorrent.
In other news, BitTorrent’s creator Bram Cohen revealed last fall that he plans to develop his own cryptocurrency called Chia.
According to Cohen, Chia would fix the “centralization problems” of Bitcoin (BTC).