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Unregistered Securities Howey Securities Act of 1933

Fenwick & West LLP

Looking Under the Hood of $TRUMP’s Legal Strategy

Fenwick & West LLP on

On Friday, January 17, 2024, President Donald J. Trump announced the launch of the $TRUMP memecoin, which was organized and sold by CIC Digital, an affiliate of the Trump Organization. Within 60 hours, $TRUMP reportedly...more

Farrell Fritz, P.C.

SEC’s First Two NFT Enforcement Actions Cast Shadow of Ambiguity

Farrell Fritz, P.C. on

The Securities and Exchange Commission recently brought its first two enforcement actions against issuers of non-fungible tokens (NFTs), resulting in cease-and-desist orders, penalties and other remedies, finding that the...more

Holland & Knight LLP

A Ripple of Doubt

Holland & Knight LLP on

Specifically, the SEC wants a change to persuade the U.S. Court of Appeals for the Second Circuit – now, not later – of its view that Torres got it wrong when she determined that the company's offer and sale of its XRP token...more

Willcox & Savage

Crypto and the SEC v. Ripple Labs, Inc. Decision: What Did the Court Actually Say?

Willcox & Savage on

Earlier this month, a federal trial court judge issued an opinion ruling on whether sales of a digital token, XRP, constituted a “security” for purposes of federal securities laws. Some headlines reporting the ruling have...more

Holland & Knight LLP

SEC v. Ripple: When a Security Is Not a Security

Holland & Knight LLP on

In a monumental decision that will likely have substantial ramifications for crypto industry developers, securities practitioners, and millions of investors and token purchasers alike, on July 13, 2023, the U.S. District...more

Proskauer - Corporate Defense and Disputes

The Ripple Effect: Implications of the SEC’s Partial Loss in SEC v. Ripple Labs Inc.

The SEC suffered a significant loss last week in its ongoing legal battle with Ripple over the XRP digital token. While the District Court held that Ripple’s initial sales of XRP to institutional investors constituted the...more

Latham & Watkins LLP

SEC v. Ripple: Approaching Judgment Day

Latham & Watkins LLP on

While a conclusion to the much-hyped case may be approaching, market participants should be wary of doomsday prognostications. As a new year begins, the digital assets industry is still enduring a deep and widespread crypto...more

Husch Blackwell LLP

SEC v. LBRY: Is it Time for Blockchain Networks to Register Their Native Tokens?

Husch Blackwell LLP on

The New Hampshire District Court recently granted summary judgment in favor of the Securities and Exchange Commission (SEC) in SEC v. LBRY, Inc., concluding that the native token of the blockchain protocol and network...more

Seward & Kissel LLP

The Final Chapter? Bad Facts Make for Bad Law in LBRY Litigation

Seward & Kissel LLP on

They say having fun isn’t hard when you’ve got a LBRY card. But it may have just gotten a bit harder. On November 7, 2022, in SEC v. LBRY, Inc., the U.S. District Court for the District of New Hampshire granted summary...more

Jones Day

Court Rules That Sales of Digital Tokens Were Illegal Unregistered Securities Offerings

Jones Day on

Federal court grants summary judgment to the SEC on its claim that sales of digital tokens constitute investment contracts under the Securities Act. On September 30, 2020, U.S. District Judge Alvin Hellerstein granted...more

Proskauer - Blockchain and the Law

SEC Sues Kik for ICO

On June 4, 2019, the U.S. Securities and Exchange Commission (the “SEC”) filed a complaint in the Southern District of New York against Kik Interactive Inc. (“Kik”) alleging violations of Section 5 of the Securities Act of...more

A&O Shearman

SEC Files Contested Complaint Over Unregistered $100 Million Initial Coin Offering, In Case That Could Clarify Application Of...

A&O Shearman on

On June 4, 2019, the U.S. Securities and Exchange Commission (“SEC”) sued Kik Interactive Inc. (“Kik”) for conducting an unregistered offering of $100 million of digital tokens. See U.S. Securities and Exchange Commission v....more

Dorsey & Whitney LLP

How To Get Your Crypto Currency Offering Enjoined

Dorsey & Whitney LLP on

Crypto currency has been all the fashion. Most proponents that have been confronted by a regulator – the SEC or CFTC generally – have quickly resolved the matter. Few have tried to litigate with the agencies and those who...more

Pillsbury Winthrop Shaw Pittman LLP

The SEC’s Shutdown of the Munchee ICO

Commission’s action shows the limited utility of the utility token-security token distinction. Regulator finds that sellers of blockchain-based digital coins cannot dodge securities law by calling the coins “utility...more

WilmerHale

SEC Confirms Certain ICOs Are Securities Offerings; Regulators Renew Focus on Cryptocurrencies

WilmerHale on

What Is an ICO? An ICO, or initial coin offering, is the sale of virtual coins or tokens, often as a means of capital raising by startup companies that are involved in blockchain technology. Depending on the terms of the...more

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