SEC Seeks to Regulate DEXs Under Existing Exchange Laws, Crypto Mom Responds
The Securities and Exchange Commission (SEC) has announced that it is reopening an old proposal surrounding consumer protection laws to explicitly put digital asset trading within its scope.
SEC Expected to Increase Scrutiny on Decentralized Finance Exchanges, Including DeFi Projects
The U.S. Securities and Exchange Commission (SEC) is expected to declare on Friday that rules governing trading exchanges in the U.S. also apply to decentralized finance. This action would formalize the SEC's assertion of jurisdiction over activities labeled 'decentralized' that the agency sees as still falling under traditional definitions of securities trading. It may also signal increased scrutiny by the regulatory agency into that area of digital assets.
Chia Network Submits Registration to U.S. SEC For Proposed IPO
Blockchain and smart-contract platform Chia Network, founded by Bram Cohen, inventor of BitTorrent, has submitted a confidential draft registration for a proposed initial public offering (IPO) to the U.S. Securities and Exchange Commission. The size and price range for the offering has not yet been determined. Chia raised $61 million in a Series D funding round in 2021, led by Andreessen Horowitz and Richmond Global Ventures, at a $500 million valuation, and at the time, its then-COO (now-CEO) said the company was on "an accelerated timeline" to an IPO. The native token XCH showed little response to the news, with a 2.59% increase on the day but no upward movement since the announcement.
Justin Sun Withdrawing His Funds Following Arrest Rumors
Justin Sun, the founder of TRON, has reportedly transferred 2,200 ETH worth approximately $4.6 million to Binance and Huobi exchanges, raising suspicions among market observers. This move comes after rumors surfaced about Sun's arrest in Hong Kong, which he quickly dismissed on Twitter. However, the community's apprehension persisted, leading to a significant sell-off of TRON's native cryptocurrency. The recent arrest rumors and Sun's subsequent funds transfer have raised questions about whether the two events are connected, and it could be tied to the ongoing speculation surrounding his potential legal issues related to charges by the SEC for unregistered offer and sale of crypto asset securities TRX and BTT, fraudulently manipulating the secondary market for TRX, and orchestrating a scheme to pay celebrities to promote TRX and BTT without disclosing their compensation. The SEC's charges have cast a shadow over Sun's reputation and the future of the TRON project, leading to a loss of confidence in the project and its leadership.
Kraken to Withdraw US$1.17 Bln of Staked Ether in Line With SEC Ruling, Settlement
Kraken has initiated the largest amount of Ether withdrawals since the Ethereum blockchain's Shanghai upgrade that allows such withdrawals. The exchange has registered to withdraw 556,272 Ether worth around $1.17 billion, accounting for 63.3% of all staked Ether in the withdrawal queue. Coinbase and Huobi have also initiated withdrawals, but other than centralized exchanges, there has not been a significant volume of withdrawals. As of 1:30 p.m. in Hong Kong, more than 1 million Ether are in the queue for withdrawal. Despite concerns of a rush to withdraw and cash in the token, CryptoQuant does not expect a flood of Ether sales, as the majority of staked Ether is still holding losses compared to Ether prices when it was staked.
House Republicans Blast Gensler’s “Unacceptable” Failure to Provide Information on Charges Against Sam Bankman-Fried
In the letter, the lawmakers state that compulsory measures could be taken to obtain the requested documents should the agency fail to fulfill their request.
Court Summons Issued for Justin Sun, Tron, and Bittorrent in SEC Lawsuit
The SEC alleges that Sun offered and sold securities in an unregistered and unlawful manner and seeks disgorgement, penalties, and injunctive relief.
SEC Argues Recent Court Case Weakens Ripple Labs’ ‘Fair Notice’ Defense
The United States Securities and Exchange Commission (SEC) has claimed that a recent court judgment weakens a key defense made by Ripple Labs in its ongoing legal battle with the regulator. In an April 11 letter to U.S. District Judge Analisa Torres, the SEC highlighted the judge’s opinion in a separate enforcement action it won against investment advisory firm Commonwealth Equity Services. The SEC argued that the longstanding Supreme Court precedent which gave rise to the Howey test provides Ripple Labs with fair notice as to what a security is, just as the precedent referred to in the Commonwealth case had. Ripple’s argument that the SEC had failed to provide it with fair notice before suing it for committing securities fraud in December 2020 is regarded as one of its key defenses. Legal experts such as John E Deaton believe Ripple Lab’s best chance lies in convincing the judge that XRP is not a security based on the Howey test.
SEC Urges Court to Reject Ripple’s Fair Notice Defense in XRP Lawsuit, Files Letter of Supplementary Authority
Led by Gary Gensler, the United States Securities and Exchange Commission (SEC) has filed a letter of Supplemental Authority to the presiding judge to further support its pending motion for Summary Judgment in the longstanding XRP lawsuit filed months ago.
Attorney Predicts New Timeline For Ripple Vs SEC Summary Judgement
Attorney John Deaton, the attorney representing XRP token holders in the Ripple Vs SEC case, is guessing that the Summary Judgement could be given within 60 days from the date of the Daubert motion ruling.
