In a notable development, the SEC has won a case against blockchain firm Rivetz over the sale of unregistered securities.
What Happened: U.S. District Judge Mark Mastroianni granted the SEC’s motion for summary judgment, a decision made without a trial, CoinDesk reported Tuesday. The SEC is set to confer with Steven Sprague, CEO of Rivetz, and file a proposed judgment for injunctive and monetary relief by Oct. 22.
The SEC action against Rivetz was initiated in 2021, alleging the firm of offering unregistered securities and violating the Securities Act during a $18 million initial coin offering (ICO) in 2017 for the Rivetz token.
Why It Matters: The Gary Gensler-led agency has been increasingly vigilant against cryptocurrency firms, with many high-profile names including Binance, Ripple Labs, and Coinbase, facing lawsuits in recent years.
Ripple Labs was fined $125 million in August for violating federal securities laws. The agency slapped cryptocurrency entities with record fines of $4.68 billion in 2024, marking a whopping 3000% jump from last year.
Influential cryptocurrency advocates have slammed the SEC’s approach toward regulation, with billionaire investor Mark Cuban taking personal potshots at Gensler.
Gensler’s leadership has also become an election issue among the cryptocurrency demographic. Republican presidential hopeful Donald Trump promised to fire the SEC Chair if voted back to power.
Photo: Created with an image from Shutterstock and Third Way Think Tank on Flickr
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