{"id":5007,"date":"2022-01-21T08:17:04","date_gmt":"2022-01-21T08:17:04","guid":{"rendered":"https:\/\/mailinvest.blog\/index.php\/2022\/01\/21\/2-4bn-worth-of-crypto-penalties-issued-by-the-sec-since-2013\/"},"modified":"2022-01-21T08:17:04","modified_gmt":"2022-01-21T08:17:04","slug":"2-4bn-worth-of-crypto-penalties-issued-by-the-sec-since-2013","status":"publish","type":"post","link":"https:\/\/mailinvest.blog\/index.php\/2022\/01\/21\/2-4bn-worth-of-crypto-penalties-issued-by-the-sec-since-2013\/","title":{"rendered":"$2.4Bn Worth Of Crypto Penalties Issued By The SEC Since 2013"},"content":{"rendered":"

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The SEC (Securities and Exchange Commission) has so far issued approximately $2.35Bn in total worth of penalties for digital asset marketplace participants. The record is from 2013. Cornerstone Research\u2019s report on Jan 19<\/span>th<\/span> revealed the data.<\/span><\/p>\n

The Details Of The SEC\u2019s Penalties<\/b><\/span><\/h2>\n

The report was titled \u201cSEC<\/a> Cryptocurrency Enforcement: 2021 Update\u201d. It discovered that the agency has brought about 97 enforcement actions in total amounting to $2.35Bn since 2013 till 2021 ended.<\/span><\/p>\n

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58 of these 97 actions fell under the category of litigations. Administrative proceedings made up for the rest of the 39. Of the entire amount of $2.35Bn raised via these actions, litigation charges made up for $1.71Bn. Administrative proceedings accounted for $640Mn.<\/span><\/p>\n

Most of the parties charged were only firm respondents. They accounted for $1.86Bn of the entire $2.35Bn. At the same time, charges for the individual respondents made up for the $490Mn that remained.<\/span><\/p>\n

In 2013 July, the agency had issued its first-ever financial penalty for a participant in cryptocurrency. However, according to the report, it won\u2019t be until 2017 that crypto-related litigation initiated by the the agency starts picking up pace. From 2013 till 2017, only 6 cases related to crypto were initiated by the agency.<\/span><\/p>\n

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In 2021 alone, 20 among the 97 actions were launched by the agency. 14 of them were litigation actions in the federal courts of the US. The other 6 were administrative proceedings. Among these 20 actions related to enforcement, 70% of them were associated with ICOs (initial coin offerings).<\/span><\/p>\n

Simona Mola, the author of the report, suggested that the recent crypto crackdown of the SEC on crypto may have a link with Gary Gensler\u2019s appointment as the chair of the SEC in 2021 April. She noted that enforcement by the SEC had been much higher from May-end till Mid-September.<\/span><\/p>\n<\/div>\n