Catenaa, Friday, November 29, 2024-The US Securities and Exchange Commission (SEC) announced a record-breaking $8.2 billion in penalties for fiscal year 2024, with over half—$4.5 billion—stemming from Terraform Labs and its founder, Do Kwon, following the Terra blockchain’s $60 billion collapse.
Without the Terraform case, the SEC’s financial remedies would have been the lowest since 2013, at $3.72 billion, reports said.
Despite a 26% drop in enforcement actions to 583 cases, the agency’s total penalties surged by 65.5% compared to 2023.
SEC Chair Gary Gensler, a central figure in the agency’s crackdown on the crypto industry, announced his resignation effective January 20, 2025, following Donald Trump’s re-election.
Trump has pledged a more crypto-friendly SEC leadership.
Under Gensler, the SEC targeted major crypto entities, including Silvergate Bank, Barnbridge DAO, and NovaTech Ltd., levying millions in fines for alleged misconduct. Industry advocates hope Gensler’s departure signals a shift towards constructive crypto regulation.
