News
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CFTC Sues KuCoin
Read More: CFTC Sues KuCoinINTRODUCTION On March 26, 2024, the Commodity Futures Trading Commission (CFTC), brought a civil enforcement action in the U.S. District Court for the Southern District of New York against the group of entities it argues collectively operate as the centralized digital asset exchange KuCoin. The CFTC claims that KuCoin violated the Commodity Exchange Act (CEA)…
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Crypto Exchange Sues SEC
Read More: Crypto Exchange Sues SECThe Securities Exchange Commission (“SEC”) is under fire again, this time in Texas. On February 21, emerging Texas-based cryptocurrency exchange LEJILEX and the Crypto Freedom Alliance of Texas (“CFAT”), an industry advocacy group, filed a complaint against the SEC. In their complaint, LEJILEX and CFAT allege that the SEC’s assertion of regulatory authority over nearly…
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Van Eck and the Significance of Transparency
Read More: Van Eck and the Significance of TransparencyA recent settlement between Van Eck Associates Corporation (Van Eck) and the Securities and Exchange Commission (SEC) once again underscores the Commission’s focus on transparency in the securities markets. Van Eck agreed to pay a $1.75 million civil penalty to settle charges that it failed to disclose a social media influencer’s role in the promotion…
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Evolution of FinCEN’s Crypto Guidance
Read More: Evolution of FinCEN’s Crypto GuidanceTable of Contents Introduction to FinCEN and The BSA If you’re a U.S. business dealing with cryptocurrencies on a frequent basis, you’re most likely familiar with the legal concepts “money transmitter” and “money service business” (MSB). If not, you’re potentially opening yourself up to a world of hurt by failing to comply with federal and…
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Navigating FinCEN’s Latest Guidance
Read More: Navigating FinCEN’s Latest GuidanceTable of Contents The 2019 Guidance As the cryptocurrency landscape proceeds to blossom, regulatory bodies like the Financial Crimes Enforcement Network, or “FinCEN,” continue to play a crucial role in shaping the industry’s legal framework. For a brief discussion on the history of FinCEN’s entanglement with crypto, see our article Evolution of FinCEN’s Crypto Guidance. …
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Voyager Investors Sue the NBA and New Jersey’s Oldest Law Firm
Read More: Voyager Investors Sue the NBA and New Jersey’s Oldest Law FirmThe Lawsuit Investors in the bankrupt cryptocurrency exchange Voyager Digital are suing the National Basketball Association (NBA), and New Jersey’s oldest law firm, McCarter & English. This emerging legal battle illustrates how even some of the largest and most reputable brands and companies can quickly become ensnared in controversy in an industry marred by a…
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A Tangled Web of Regulations
Read More: A Tangled Web of RegulationsAlphabet Soup For over a decade, cryptocurrency has captured the imagination of investors, entrepreneurs, and technologists alike, presenting new opportunities and challenges in the world of finance. And if the financial world has taught us anything, it’s that where consumer interest journeys, regulators are quick to follow. The cryptocurrency craze is no exception. In a…
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New York Offers New Virtual Currency Guidance
Read More: New York Offers New Virtual Currency GuidanceOn November 15, 2023, the New York Department of Financial Services (NYDFS) issued new standards for virtual currency (coin) listings and delistings. These new regulations apply to BitLicensees and limited-purpose trust companies and include business model considerations for virtual currency entities (VCEs), updated risk assessment expectations for VCEs, new advance notification requirements, and updated definitions.…
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Binance and CZ Settle with the DOJ and Other Federal Agencies
Read More: Binance and CZ Settle with the DOJ and Other Federal AgenciesOn November 21, 2023, the Commodity Futures Trading Commission (CFTC), the Department of Treasury’s Finance Crimes Enforcement Network (FinCEN), its Office of Foreign Assets Control (OFAC), and the Department of Justice (DOJ) all settled charges against Binance, the world’s largest cryptocurrency exchange, and its Chief Operating Officer, Changpeng Zhao (CZ). The settlement concerned a variety…
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California Enacts Digital Financial Assets Law
Read More: California Enacts Digital Financial Assets LawOn October 13, 2023, California enacted the Digital Financial Assets law. This law is California’s first comprehensive framework for regulation of digital asset markets, and some of its provisions may sound familiar to those versed in the state’s money transmitter licensing requirements. Under this new law, on and after July, 2025, crypto companies and everyone…