Tagged: cryptocurrency

TradeStation Settles Securities Violations Stemming From its Crypto Yield Product

On February 7, 2024, the U.S. Securities and Exchange Commission (“SEC”) announced charges and a related cease-and-desist order (the “Order”) against TradeStation Crypto, Inc. (“TradeStation”) for failing to register the offer and sale of its crypto-lending product.  In order to settle these charges, TradeStation agreed to pay a $1.5 million penalty.  As part of the agreement, TradeStation did not admit or deny the findings.  TradeStation’s...

SEC Settlement with BarnBridge DAO and its Founders for Securities Violations Highlights Legal Risks for DAOs and DeFi

Matt Stankiewicz, Partner at The Volkov Law Group, joins us for another post discussing how the SEC’s recent settlement with BarnBridge DAO may impact the cryptocurrency industry. Matt can be contacted at [email protected]. On December 23, 2023, BarnBridge DAO (“BarnBridge”) and its founders, Tayler Ward and Troy Murray, agreed to settle charges with the U.S. Securities and Exchange Commission (“SEC”).  BarnBridge violated Sections5(a) and 5(c) of...

Episode 302 — Matt Stankiewicz on DOJ’s Massive Criminal Settlement with Cryptocurrency Exchange Binance and its CEO Changpeng Zhao

On November 21, 2023, The U.S. Department of Justice (“DOJ”) announced settlement agreements with Binance Holdings Limited (“Binance”), the world’s largest cryptocurrency exchange, and Changpeng Zhao (affectionally known as “CZ” in the cryptocurrency industry), the exchange’s founder and Chief Executive Officer (“CEO”).  Under these agreements, Binance and CZ each agreed to plead guilty to a variety of offenses in order to resolve the ongoing investigations. ...

DOJ Reaches Groundbreaking Criminal Settlement with Cryptocurrency Exchange Binance and CEO Changpeng Zhao (Part I of III)

Matt Stankiewicz, Partner at The Volkov Law Group, breaks down Binance’s recent criminal settlement agreements with U.S. regulators. Matt can be reached at [email protected]. On November 21, 2023, The U.S. Department of Justice (“DOJ”) announced settlement agreements with Binance Holdings Limited (“Binance”), the world’s largest cryptocurrency exchange, and Changpeng Zhao (affectionally known as “CZ” in the cryptocurrency industry), the exchange’s founder and Chief Executive Officer...

SEC and DOJ Charge SafeMoon Cryptocurrency and its Executives For Multi-Million Dollar Fraud

Matt Stankiewicz, Partner at The Volkov Law Group, provides a post on the latest fraud charges in the cryptocurrency industry, brought against SafeMoon. Matt can be reached at [email protected]. On November 1, 2023, the U.S. Department of Justice (“DOJ”) and U.S. Securities and Exchange Commission (“SEC”) brought charges against cryptocurrency project SafeMoon LLC and its U.S. subsidiary SafeMoon US LLC, along with its three executives,...

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Episode 286 — Matt Stankiewicz on Ripple Decision and Indictment of Celsius Network CEO

Matt Stankiewicz, Partner at The Volkov Law Group, rejoins the podcast to review the recent Ripple decision by District Judge Torres at the Southern District of New York and the recent indictment of Celsius Networks’ CEO. On July 13, 2022, Judge Analisa Torres issued her long awaited ruling on the summary judgment motions in the SEC’s case against Ripple Labs, Inc. (“Ripple”).  The 34-page order provided a...

SEC Charges Richard Heart and His Three Cryptocurrency projects – Hex, PulseChain, and PulseX

On July 31, 2013, the Securities and Exchange Commission (“SEC”) formally charged the enigmatic crypto-personality Richard Heart (whose real name, as I learned from the complaint, is Richard Schueler) and his three entities—Hex, PulseChain, and PulseX—with conducting unregistered offerings of crypto asset securities.  These securities offerings and sales raised more than $1 billion in funds from U.S. investors and investors abroad.  The SEC further charged...

U.S. Department of Justice Unseals Indictment against Celsius Network’s Alexander Mashinsky

On July 13, 2023, U.S. prosecutors unsealed an indictment against Alexander Mashinsky, the founder and former CEO of beleaguered Celsius Network LLC (“Celsius”) charging him with securities fraud, commodities fraud, and wire fraud.  The DOJ alleges that Mashinsky defrauded customers by misleading them about Celsius’s operations, specifically related to the company’s success and profitability, along with the investments that Celsius ultimately made utilizing customer funds. ...

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Ripple and the SEC Both Claim Wins in Split Court Decision

On July 13, 2022, Judge Analisa Torres issued her long awaited ruling on the summary judgment motions in the SEC’s case against Ripple Labs, Inc. (“Ripple”).  The 34-page order provided a win for both the SEC and for Ripple Labs, suggesting that some sales of Ripple’s XRP token constituted securities, but that other sales did not.  Proponents of the cryptocurrency industry celebrated this ruling, as...

Episode 279 — Matt Stankiewicz and Mike Volkov Review SEC Enforcement Actions Against Binance and Coinbase

The Securities and Exchange Commission filed two separate enforcement actions targeting the cryptocurrency industry — the first against Binance and its CEO, and the second against Coinbase. The SEC’s actions underscored its aggressive strategy to reign in cryptocurrency companies. In this Episode, Matt Stankiewicz and Mike Volkov discuss these two important enforcement actions.