Meme Games

Billion

Blue Guy

Higher

The Securities and Exchange Commission (SEC) has secured $4.7 billion in crypto-related enforcement actions in 2024, marking a staggering 3,018% increase from last year, according to Social Capital Markets. 
This surge was largely driven by the agency’s record-breaking $4.47 billion settlement with Terraform Labs and its former CEO, Do Kwon, in June. That was the SEC’s “largest enforcement action to date,” according to a Sept. 9 <a href="https://socialcapitalmarkets.net/crypto-trading/crypto-sec-fines-penalties/">report</a> from Social Capital Markets, 
<img decoding="async" src="https://image.cnbcfm.com/api/v1/image/107019404-1645640859659-gettyimages-1238709242-SEC_RULE.jpeg?v=1703862160" alt="SEC pushes slate of proposals to boost corporate reporting, disclosure requirements"> 
<h2 id="span-style-font-weight-400-sec-targets-higher-profile-cases-span">SEC Targets Higher Profile Cases</h2> 
The total amount comprises forfeiture, civil penalties, settlement, disgorgement, and pre-judgment interest. Although the collective dollar amount of the regulator’s enforcement actions has spiked 3,018% in the last year, there has been a drop in the number of cases the <a href="https://insidebitcoins.com/news/judge-approves-ripple-request-to-stay-125-million-sec-penalty-company-signals-no-appeal-plans">SEC</a> pursued. 
Only 11 enforcement actions were initiated against crypto firms by the SEC this year, which is 19 fewer actions compared to last year. 
“This trend indicates a strategic shift by the <a href="https://insidebitcoins.com/news/sec-issues-a-wells-notice-to-opensea-claiming-nfts-on-its-platform-are-securities">SEC</a> toward fewer but larger fines, with a focus on making high-impact enforcement actions that set precedents for the entire industry,” said Social Capital Markets. 
<h2 id="span-style-font-weight-400-46-of-fines-imposed-since-2020-have-been-below-1-million-span">46% Of Fines Imposed Since 2020 Have Been Below $1 Million</h2> 
Following the settlement with Terraform Labs and Do Kwon, the next biggest fine was issued to the messaging network Telegram in 2019. In this case, Telegram was slapped with a $1.24 billion action, which comprised $18.5 million in civil penalties and $1.2 billion in disgorgement paid back to investors. 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 The SEC asked for $2B, and the Court reduced their demand by ~94% recognizing that they had overplayed their hand. We respect the Court’s decision and have clarity to continue growing our company. 
 This is a victory for Ripple, the industry and the rule of law. The SEC’s… 
 — Brad Garlinghouse (@bgarlinghouse) <a href="https://twitter.com/bgarlinghouse/status/1821289051191963861?ref_src=twsrc%5Etfw">August 7, 2024</a>
</blockquote> 
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
In the four years after Telegram’s case, fines from the regulator have hovered between $5 million and $35.2 million before Terraform Labs pushed the average substantially higher. 
During this period, 46% of the fines imposed have been below $1 million. Meanwhile 30% of the fines have been between $1 million and $10 million. 
<h3 id="span-style-font-weight-400-related-articles-span">Related Articles:</h3> 
<ul> 
 <li style="font-weight: 400;"><a href="https://www.linkedin.com/pulse/upcoming-crypto-presales-unlock-early-investment-calsona-plu5e/">Upcoming Crypto Presales: Unlock Early Investment Opportunities!&nbsp;</a></li> 
 <li style="font-weight: 400;"><a href="https://insidebitcoins.com/news/the-meme-games-limbers-up-for-token-claim-and-dex-listing-at-10-am-tomorrow-last-chance-to-buy">The Meme Games Limbers Up For Token Claim And DEX Listing At 10 AM Tomorrow – Last Chance To Buy!</a></li> 
 <li style="font-weight: 400;"><a href="https://insidebitcoins.com/news/most-trending-cryptocurrencies-on-base-chain-now-brett-axondao-governance-token-blue-guy">Most Trending Cryptocurrencies on Base Chain Now – Brett, AxonDAO Governance Token, Blue Guy</a></li> 
</ul>

SEC Secures $4.7 Billion From Crypto Enforcement This Year, A 3,018% Surge Driven By Terraform Labs Settlement

Table of Contents

Inside Bitcoins

Other articles published on Sep 10, 2024

AI deepfake attacks will extend beyond videos and audio — Security firms

Crypto.com Announces Strategic Partnership with Standard Chartered Bank to Expand Global Retail S...

Metaplanet Expands Bitcoin Holdings with $2M Purchase

Digital Chamber calls for Congress to address SEC actions against NFTs

Weekly Article Recap: 8/26-8/30

Owner of unlicensed UK crypto ATM network faces criminal charges

Join our free newsletter for daily crypto updates!