SEC Crypto Enforcement Reached New High in 2023

U.S. Securities and Exchange Commission (SEC) crypto enforcement skyrocketed successful 2023, with much than a 50% summation successful crypto-related enforcement actions compared to 2022, according to a caller report. The securities regulator “continues to presumption cryptocurrency-related enforcement arsenic a apical priority, bringing 46 enforcement actions against assorted digital-asset marketplace participants,” the study details.

SEC Prioritizes Crypto Enforcement

Cornerstone Research released a report this week titled “SEC Cryptocurrency Enforcement,” revealing that the SEC’s enforcement absorption connected integer assets reached a caller precocious past year.

“The Securities and Exchange Commission (SEC) continues to presumption cryptocurrency-related enforcement arsenic a apical priority, bringing 46 enforcement actions against assorted digital-asset marketplace participants successful 2023,” Cornerstone Research described, elaborating:

This fig is the highest since 2013 and a 53% summation from 2022.

“In the archetypal 4th of 2023 alone, the SEC brought 20 actions, the highest fig successful a azygous quarter,” the study adds.

The study outlines that “of the 46 enforcement actions, the SEC brought 26 litigations successful U.S. national courts and 20 administrative proceedings successful 2023. There were much than triple the administrative proceedings from past year, and the fig of litigations accrued slightly. The SEC imposed $281 cardinal successful monetary penalties for settlements reached.”

In 2023, astir 37% of the SEC’s enforcement actions were linked to archetypal coin offerings (ICOs), a alteration from the 47% reported successful 2022. Among the 17 ICO-related actions, 82% progressive fraud allegations. Notably, the SEC initiated 2 administrative proceedings related to non-fungible tokens (NFTs) for the archetypal time.

The study details:

Chair Gensler has noted that ‘enforcement is simply a tool, not the destination,’ and the fig of SEC enforcement actions brought successful the crypto abstraction has ramped up implicit the past 2 years.

The SEC brought charges against 124 individuals oregon entities successful cryptocurrency enforcement actions successful 2023, with 54% being individuals and 46% representing firms. Notably, the percent of enforcement actions solely targeting individuals decreased from 50% successful the erstwhile twelvemonth to 39%.

What bash you deliberation astir SEC enforcement actions against crypto individuals and firms hitting a grounds high? Let america cognize successful the comments conception below.