New Developments Unveiled in High-Profile SEC Case Involving Ethereum and Two Altcoins
The SEC has recently introduced a significant advancement in a case that has caught many by surprise, specifically centering around two altcoins.
By Mete Demiralp
02.07.2024 – 19:23
Updated: Just now
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In Texas, a judge has established a rapid timetable for the U.S. Securities and Exchange Commission’s (SEC) legal action against Ethereum developer Consensys. The legal procedures are set to occur from July 29 to November 26, hinting at a potential resolution by late 2024 or early 2025.
Judge O’Connor has agreed to evaluate the case promptly. The crucial query revolves around whether the SEC holds the Congressional authority to supervise MetaMask, a Consensys product, as a securities dealer and issuer. This development was announced by Consensys’ attorney, Bill Hughes, on a social networking site.
The SEC’s lawsuit against Consensys, filed last month, accuses the company of breaching securities laws through its MetaMask Staking and MetaMask Swaps offerings. MetaMask Staking enables users to stake ETH and MATIC, while MetaMask Swaps facilitates the exchange of diverse cryptocurrencies.
On June 28, the SEC’s statement alleged that Consensys engaged in unregistered sales of securities by engaging in the distribution of staking programs. Furthermore, the SEC claims that Consensys acted as an unregistered agent in these transactions.
The SEC asserts that Consensys entered the U.S. securities market in this manner without affording investors the protections mandated by federal securities statutes.
*Note: This does not constitute investment advice.
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