18 US states file lawsuit against SEC and Gary Gensler

November 14, 2024 Coin Telegraph

President-elect Trump has vowed to fire SEC Chairman Gary Gensler and replace him with a more crypto-friendly SEC head.

18 US states have filed a lawsuit against the Securities and Exchange Commission (SEC) and Chairman Gary Gensler, accusing the financial regulator of “gross government overreach” against the nascent crypto industry.

The joint lawsuit against the SEC. Source: Eleanor Terrett

The plaintiffs include Nebraska, Tennessee, Wyoming, Kentucky, West Virginia, Iowa, Texas, Mississippi, Ohio, Montana, and others. The legal complaint reads:

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC’s Crypto Regulation Labeled a ‘Disaster’ by Commissioner

October 12, 2024 Bitcoin.com

bitcoin.com

A U.S. Securities and Exchange Commission (SEC) commissioner has called the agency’s approach to cryptocurrency regulation a “disaster,” highlighting the SEC’s reliance on enforcement without clear guidance. He criticized the lack of regulatory clarity, which has led to conflicting court rulings, and emphasized the need for clearer distinctions on what falls under securities law. SEC’s […]

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC’s Authority Over XRP Futures Challenged in Bitnomial Lawsuit

October 12, 2024 Bitcoin.com

bitcoin.com

Crypto derivatives exchange Bitnomial is suing the U.S. Securities and Exchange Commission (SEC) over its authority to regulate XRP futures, challenging the classification of XRP as a security. The exchange, overseen by the Commodity Futures Trading Commission (CFTC), contests the SEC’s claim that XRP futures are “security futures” and aims to set a precedent affecting […]

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC Hits Market Makers With Fraud Charges for Misleading Crypto Investors

October 12, 2024 Bitcoin.com

bitcoin.com

The U.S. Securities and Exchange Commission (SEC) has charged multiple market makers and individuals with manipulating crypto asset markets, alleging they created fake trading activity to mislead retail investors. These schemes, including practices like wash trading, aimed to fabricate the illusion of active trading, violating securities laws. The SEC seeks penalties, including bans and disgorgement, […]

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC sues Cumberland DRW for unregistered crypto dealer activities

October 11, 2024 Coin Telegraph

Coin Telegraph

Cumberland allegedly had $2 billion worth of unregistered crypto dealing since 2018.

The United States Securities and Exchange Commission (SEC) filed suit against Cumberland DRW on Oct. 10, advancing a single charge of operating as an unregistered dealer. Cumberland has allegedly sold more than $2 billion in crypto assets since 2018 in violation of federal registration requirements.

The SEC claims that Cumberland acted as an unregistered dealer in its proprietary trading (trading on its own accounts) and when trading on third-party crypto asset exchanges. The agency is seeking permanent injunctive relief, disgorgement of ill-gotten gains, prejudgment interest and civil penalties.

The SEC claimed that five of the tokens Cumberland handles are securities. Specifically, they are Polygon (MATIC), Solana (SOL), Cosmos (ATOM), Algorand (ALGO), and Filecoin (FIL). The agency identified all of them as securities in the past. According to the complaint:

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

Coinbase urges court to reconsider appeal, cites SEC vs Ripple

October 5, 2024 Coin Telegraph

CFTC

The Securities and Exchange Commission (SEC) sued Coinbase in June 2023 and accused the company of selling unregistered securities.

Attorneys for Coinbase urged Southern District of New York judge Katherine Failla to reconsider an interlocutory appeal filed on behalf of the exchange in April 2024 — citing the Securities and Exchange Commission's (SEC) recent notice of appeal in the Ripple lawsuit.

According to an Oct. 5 letter, lawyers for Coinbase argued that the SEC's appeal is an admission that the criteria listed in the regulator's Howey Test — a set of conditions that must all be fulfilled to classify a financial instrument as a security — were ambiguous and warranted closer examination.

Lawyers for Coinbase send letter to court urging approval of an interlocutory appeal first filed in April 2024. Source: Eleanor Terrett.

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC scores partial win against blockchain firm Opporty over $600K ICO

September 27, 2024 Coin Telegraph

SEC scores partial win against blockchain firm Opporty over 0K ICO

Coin Telegraph

A United States federal judge sided partially with the SEC, finding that Opporty and its founder, Sergii Grybniak, offered “unregistered securities” in a 2018 ICO.

The United States Securities and Exchange Commission won a partial victory in its case against blockchain firm Opporty International and its owner — accusing them of conducting a fraudulent initial coin offering (ICO).

In a Sept. 24 memorandum, US District Judge Eric Komitee said the SEC had proved enough of its claim that Opporty and its owner Sergii Grybniak had unlawfully offered the sale of unregistered securities in the US.

A US judge handed a partial victory to the SEC. Source: US Courts

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

SEC vs. Ripple: One year on since landmark ruling

July 13, 2024 Coin Telegraph

Coin Telegraph

While challenges remain, Ripple’s victory has set a precedent that could shape the future of the cryptocurrency industry for years to come.

July 13, 2023, saw a landmark ruling in the United States Securities and Exchange Commission’s (SEC) case against Ripple Labs. The ruling determined that the XRP token is not a security when sold on public exchanges. The decision had implications for the cryptocurrency market and the regulatory landscape in the US.

The ruling was a significant victory for the blockchain-based digital payment network and set a precedent for classifying cryptocurrencies. The SEC initially filed a lawsuit against Ripple in December 2020, alleging that the company had conducted an unregistered securities offering by selling XRP (XRP) tokens.

However, Ripple argued that XRP should be considered a currency rather than a security, and after a lengthy legal battle, the court partially sided with Ripple. However, the decision was not entirely in the industry’s favor because Ripple was found to have broken the securities laws when it offered XRP to hedge funds and other institutional buyers.

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

Consensys to Challenge SEC in Court: Confident SEC Lacks Authority to Regulate Software Interfaces Like Metamask

June 29, 2024 Bitcoin.com

bitcoin.com

Consensys Software has issued a statement addressing U.S. Securities and Exchange Commission (SEC) charges accusing the company of unregistered securities offerings through Metamask staking and swaps. Consensys contends the SEC’s actions are regulatory overreach and vows to defend its position in court, emphasizing the broader implications for the web3 ecosystem. Consensys Challenges SEC Charges On […]

Former SEC Official Calls for Gensler to Resign, End All Crypto Crackdowns

Court allows most SEC claims to proceed in Binance suit

June 29, 2024 Coin Telegraph

Binance

Judge Amy Berman Jackson, however, dismissed the SEC’s claim that BNB is traded illegally on secondary markets, citing the Ripple decision.

Cryptocurrency exchange Binance has failed to convince a United States court to dismiss most claims made against it by the country’s securities regulator.

Claims related to Binance’s staking program, the sale of BNB (BNB) after its initial coin offering and anti-fraud violations will proceed, Judge Amy Berman Jackson stated in a June 28 court filing.

The security regulator’s claim that former Binance CEO Changpeng “CZ” Zhao acted as a “control person” will also proceed, as will its claim that Binance was obligated to register under the Exchange Act.

sec lawsuit