Activity tagged "SEC"

Published an issue of Citation Needed:

Issue 57 - I take deep breath and I get real high

A washer-shaped gold piece of metal with "BIT COIN" stamped into it, held onto a wrist by a string

Changpeng Zhao's sentencing, FOIA requests reveal past FBI investigations into Coinbase, and the SEC is on a Wells notice bender.

interesting, Roger Stone deleted one of his tweets shilling a "MAGA Memecoin" after I pointed out that these tweets likely violate SEC rules

Tweet by Roger Stone (@RogerJStoneJr) Donald Trump has at least $2M in @MAGAMemecoin in his crypto wallet - get yours- this cryptocurrency is going UP! -The announcement of our partnership gained us double digit growth TODAY Tweeted at 2:50 AM · Apr 18, 2024

most of his other promo tweets remain, though, and have similar issues

Published an issue of Citation Needed:

Issue 56 – What are you gonna do, arrest me?

A gold frame around an October 2022 tweet by Avraham Eisenberg: 'What are you gonna do, arrest me?'

The Binance CEO's sentencing draws near, and prosecutors have been busy chasing down other crypto criminals. Also, lawmakers take another stab at stablecoin regulation.

The SEC is asking the judge in the Terra lawsuit to order $4.2 billion in disgorgement, a $420 million penalty against Terraform Labs, and a $100 million penalty against Do Kwon.

PLAINTIFF’S MOTION FOR FINAL JUDGMENT AGAINST DEFENDANTS Plaintiff Securities and Exchange Commission (“SEC”) respectfully moves the Court to enter final judgment against Defendants Terraform Labs PTE LTD. and Do Hyeong Kwon (collectively, “the Defendants”). On April 5, 2024, the jury returned a verdict against the Defendants on all counts. For the reasons set forth in the SEC’s memorandum of law and the accompanying declarations of Avron Elbaum and Donald Battle, submitted herewith, the Court should (1) enjoin Defendants from further violation of Sections 5 and 17(a) of the Securities Act of 1933, and Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder; (2) jointly and severally order them to pay disgorgement of $4,192,147,847 plus $545,748,909 in prejudgment interest; (3) ordering Terraform and Kwon to pay a $420 million and a $100 million civil penalty, respectively; (4) imposing a conduct-based injunction on Defendants, and an officer-and-director bar on and a sworn accounting from Kwon; and (5) holding that the fraud- related monetary remedies imposed on Terraform are non-dischargeable in bankruptcy, and enter final judgment.

They also want Kwon banned from serving as an officer or director of a publicly traded company.

Kwon has opposed any injunction or disgorgement against him, and says that the potential penalties should be somewhere around $250,000–$300,000.

Published an issue of Citation Needed:

Issue 55 – Halving a bad time

A hand holds a gold "Bitcoin" coin that has been cut in half

The bitcoin "halving" looms, and that may not be as good news as coiners hope. Also, Terra committed fraud and Uniswap got a Wells notice.

Verdict against Terraform Labs and Do Kwon, responsible for the Terra/Luna algostablecoin collapse in May 2022.

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK SECURITIES AND EXCHANGE COMMISSION Plaintiffs, v TERRAFORM LABS PTE. LTD. and DO HYEONG KWON, Defendant. Verdict 1. On the SEC's first claim, under Section 17, we the jury find defendant Terraform Labs Pte. Ltd. ("Terraform"): Liable [If you answer "Liable" to Question 1, answer Question 2. Otherwise skip to Question 3.] 2. Having found Terraform liable on the SEC's first claim, we the jury find that Terraform acted [choose the highest you found]: Recklessly 3. On the SEC's first claim, under Section 17, we the jury find defendant Do Hyeong Kwon ("Kwon"): Liable [If you answer "Liable" to Question 3, answer Question 4. Otherwise, skip to Question 5.J 4. Having found Kwon liable on the SEC's first claim, we the jury find that Kwon acted [choose the highest you found]: Intentionally 5. On the SEC's second claim, for intentional or reckless violation of Rule 10b-5, we the jury find defendant Terraform: Liable

6. On the SEC's second claim, for intentional or reckless violation of Rule 106-5, we the jury find defendant Kwon: Liable [If you answered "Not Liable" to Question 5, do not answer question 7. If you answered "Liable" to Question 5, proceed to Question 7.] 7. On the claim for control person liability regarding Terraform's violation of Rule 10b-5, we the jury find defendant Kwon: Liable FOREPERSON Date: 04/05/24

Verdict in SEC v. Terraform Labs

Published an issue of Citation Needed:

Issue 54 – Cases continue

A small fake critter with orange bristles, grey-blue skin, and large black eyes, with its mouth agape

Crypto-related litigation is in full swing, as the Terra civil fraud trial has kicked off and two other cases against crypto companies have survived motions to dismiss.

Published an issue of Citation Needed:

Issue 53 – Choose rich

A man wearing polarized aviator style sunglasses holds a bottle and a glass of champagne. "Choose rich" is superimposed

Euphoria has risen along with crypto prices, but nothing has changed from the last bubble.

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