London, Tuesday, April 19, 2024 – The Securities and Exchange Commission (SEC), the US agency responsible for fortifying the regulations of markets and investors, was sanctioned on March 25 by a US district court due to the “bad faith” in the lawsuit against Debt Box, according to the resource.
The motion filed by the SEC was rejected by Judge Robert Shelby, who noted that the SEC had intentionally lied to the court about securing the temporary restraining order and asset freeze imposed against Debt Box in August 2023, according to the resolution
It is reported that “critical evidence” the SEC provided paved the way for “deliberately false and misleading ways,” the judge, Shelby, stated.
Meanwhile, amicus briefs were filed by advocacy groups aligning with the appeal made by Coinbase, the cryptocurrency-based trading firm in the US, requesting that the SEC needs to formulate firm rules for the crypto platform.
The leading crypto firms in the US—the Crypto Council for Innovation, the Satoshi Action Fund, the Texas Blockchain Council, Paradigm, Lejilex, and the U.S. Chamber of Commerce—have filed with the Third Circuit and the US Court of Appeals in relation to the lacuna of SEC policies for their clients to follow in the United States.
It is noted that companies tend to depart from the US as the regulations do not provide better guidance for the industry.
Nevertheless, the SEC’s attempt to widen its operations is still being launched, according to the resource.
Additional $158 million has been requested on March 12 by the SEC from the federal budget allocated for 2025, expecting the expansion of its market; in particular, it is reported as “Wild West of the crypto markets.”
The commission has requested more than $2.5 billion in allocations to expenses for 2025 from the Congressional Budget Justification.
The SEC initiated a campaign to make ETH a security after the blockchain transformation from proof-of-work to proof-of-stake in 2022, reports stated. 1
The companies targeting to label Ether as a security have been issued subpoenas by the commission informing them that they could provide documents and financial records related to the Ethereum Foundation, according to the resource.
