Tron, the entity behind the development of the Tron blockchain, has contested a lawsuit filed against it by the United States Securities and Exchange Commission (SEC). Recently, Tron filed a motion to dismiss the case in a federal court in New York, arguing that the SEC lacks jurisdiction over "foreign digital asset offerings to foreign purchasers on global platforms."

The lawsuit, initiated by the SEC in March, implicated Tron Foundation, its leader Justin Sun, file-sharing platform BitTorrent Foundation, and BitTorrent's parent company, Rainberry Inc. The central accusation in the lawsuit is that the token sales conducted by Tron and BitTorrent constitute unregistered securities offerings. Tron, however, refutes the SEC's assertion, arguing that the tokens were exclusively sold overseas, with measures taken specifically to avoid the U.S. market.

Additionally, Tron emphasized that even if the SEC had jurisdiction, the tokens would not meet the criteria of investment contracts under U.S. securities standards, or the Howey test. The company also disputed the SEC's allegations of Justin Sun's involvement in manipulative wash trading and undisclosed payments to celebrities for token promotion, citing a lack of specific allegations or identified victims.

In response to Tron's motion to dismiss, the SEC is expected to present its own argument within the next two weeks. Currently, the SEC has not issued any official statement regarding Tron's dismissal motion.