• News
    • Bitcoin
    • Altcoins
  • NFT
  • Metaverse
  • Analysis
  • Regulation
  • Learn
  • Market Cap
What's Hot

FTX Founder Sam Bankman-Fried Pleads Not Guilty to New Charges, Including Bribery of Chinese Officials: Report

2023-03-31

XRP Perpetual Futures Open Interest skyrockets to $610 million

2023-03-31

CNBC’s Jim Cramer calls Binance “way too sketchy”

2023-03-31
Facebook Twitter Instagram
  • Contact
  • Terms & Conditions
  • Privacy Policy
  • DMCA
Facebook TikTok Instagram YouTube
CryptoNewsMetaverse
  • News
    • Bitcoin
    • Altcoins
  • NFT

    U.S. IRS Considers Taxing NFTs Like Other Collectibles

    2023-03-21

    Meta Shuts Down NFT Project to Focus on FinTech and Content

    2023-03-14

    Solana’s Solend V2 Release, Is SOL Price $50 Next?

    2023-03-06

    Amazon NFT Marketplace To Reportedly Launch Next Month

    2023-03-06

    Blur Coin Under Fire As Allegations Of Wash Trading Emerge

    2023-03-01
  • Metaverse

    Siemens and MIT Tech Review Probe ‘The Emergent Industrial Metaverse’

    2023-03-30

    Disney Metaverse Division Reportedly Scrapped

    2023-03-28

    Animoca Denies $200M Metaverse Fund Cut

    2023-03-27

    Metaverse Trading Hits All-Time High

    2023-03-24

    Exploring the Metaverse: A Guide to Investing in Metaverse Stocks

    2023-03-20
  • Analysis

    DOJ Officially Seizes Over $456,000,000 Worth of Robinhood Shares Tied to FTX Founder Sam Bankman-Fried

    2023-01-08

    Mark Cuban Makes Prediction on Next Crypto ‘Scandal,’ Warns of Potential Implosion if Exposed: Report

    2023-01-08

    Binance Listings Cause Crypto Assets To Spike an Average of 41%: New Research

    2023-01-08

    Bitcoin Whales Unloaded BTC As Market Reversed and Parked Their Profits in This Crypto Asset Class: Santiment

    2023-01-07

    Crypto Analyst Predicts Breakout for AI-Focused Altcoin, Updates Outlook on Ethereum and Lido DAO

    2023-01-07
  • Regulation

    FTX Founder Sam Bankman-Fried Pleads Not Guilty to New Charges, Including Bribery of Chinese Officials: Report

    2023-03-31

    XRP Perpetual Futures Open Interest skyrockets to $610 million

    2023-03-31

    CNBC’s Jim Cramer calls Binance “way too sketchy”

    2023-03-31

    Bitcoin reclaims $28k despite potential regulatory woes from Binance lawsuit

    2023-03-31

    Binance daily withdrawals double as users report problems off-ramping

    2023-03-31
  • Learn

    Best Bitcoin Mining Software — TOP Crypto Miners to Use in 2023

    2023-03-30

    Next Cryptocurrency to Explode 2023

    2023-03-30

    Chart Patterns Cheat Sheet For Technical Analysis

    2023-03-21

    Best NFT Wallets in 2023

    2023-03-21

    What are Dapps (Decentralized Applications) Crypto?

    2023-03-17
  • Market Cap
CryptoNewsMetaverse
Home»Regulation»SEC filing declares FTT a security in FTX case development
SEC filing declares FTT a security in FTX case development
Regulation

SEC filing declares FTT a security in FTX case development

2022-12-22No Comments2 Mins Read
Share
Facebook Twitter LinkedIn Pinterest Email

The U.S. Securities and Exchange Commission, in its filing against Caroline Ellison and Gary Wang, said that the FTX’s exchange token (FTT) is considered a security, given that it was sold as an investment contract.

According to the Howey test, which is used by the SEC to classify security tokens, a transaction is considered an investment contract if there is “an investment of money in a common enterprise with a reasonable expectation of profits to be derived from the efforts of others.”

As per the SEC filing, since FTT launched on July 29, 2019, it was offered and sold as an investment contract, hence security. It reportedly raised approximately $10 million from its initial exchange offering (IOE) and used the funds to further the development, marketing, and business operations of FTX.

FTX allegedly promised investors higher returns if they purchased the FTT token.

“If demand for trading on the FTX platform increased, demand for the FTT token could increase, such that any price increase in FTT would benefit holders of FTT equally and in proportion to their FTT holdings,” the SEC said.

In addition, the SEC highlighted that FTX’s FTT marketing materials were filed with profit potential to incentivize more investors to hold FTT in anticipation of profit from the network effect.

In light of the SEC’s declaration of FTT as a security token, FTX exchange and its executives, including Sam Bankman-Fried, Caroline Ellison, and Gary Wang, are set to face charges on the grounds of fraud related to issuing unregistered securities.

Sam Bankman-Fried is expected to arrive in the United States early on Dec. 22, as Caroline Ellison and Gary Wang have pled guilty to criminal charges levied by the Southern District of New York.

As of press time, the FTT Token was trading below $0.8, falling over 98% from its all-time high of $85 on Sept. 9, 2022.

Read Our Latest Market Report

Source link

case Declares Development filing FTT FTX SEC Security
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

FTX Founder Sam Bankman-Fried Pleads Not Guilty to New Charges, Including Bribery of Chinese Officials: Report

2023-03-31

XRP Perpetual Futures Open Interest skyrockets to $610 million

2023-03-31

CNBC’s Jim Cramer calls Binance “way too sketchy”

2023-03-31

Bitcoin reclaims $28k despite potential regulatory woes from Binance lawsuit

2023-03-31
Add A Comment

Leave A Reply Cancel Reply

Top Posts

Is China’s apprehension to ban NFTs a hopeful sign for investors?

2022-03-31

OpenSea data breach causes massive leak of users’ email addresses

2022-06-30

Ethereum: This Merge aftermath may put ETH in a fix

2022-10-04

Subscribe to Updates

Get the latest news and Update from Cryptonewsmetaverse.com about Crypto, Metaverse and NFT.

Our mission is to develop a community of people who try to make financially sound decisions. The website strives to educate individuals in making wise choices about Cryptocurrencies, NFT, Metaverse and more.

We're social. Connect with us:

Facebook Instagram YouTube TikTok
Top Insights

FTX Founder Sam Bankman-Fried Pleads Not Guilty to New Charges, Including Bribery of Chinese Officials: Report

2023-03-31

XRP Perpetual Futures Open Interest skyrockets to $610 million

2023-03-31

CNBC’s Jim Cramer calls Binance “way too sketchy”

2023-03-31
Get Informed

Subscribe to Updates

Get the latest news and Update from Cryptonewsmetaverse.com about Crypto, Metaverse and NFT.

  • Contact
  • Terms & Conditions
  • Privacy Policy
  • DMCA
© 2023 Cryptonewsmetaverse.com. Designed by ProdigitalX.

Type above and press Enter to search. Press Esc to cancel.

  • bitcoinBitcoin(BTC)$28,604.002.47%
  • ethereumEthereum(ETH)$1,828.872.36%
  • USDEXUSDEX(USDEX)$1.07-0.53%
  • tetherTether(USDT)$1.000.19%
  • binancecoinBNB(BNB)$317.570.61%
  • usd-coinUSD Coin(USDC)$1.000.11%
  • rippleXRP(XRP)$0.540.72%
  • cardanoCardano(ADA)$0.4020966.90%
  • dogecoinDogecoin(DOGE)$0.0777924.95%
  • Lido Staked EtherLido Staked Ether(STETH)$1,823.512.44%