CashNews.co
SEC Sues Cumberland DRW for Breaching US Securities Laws
On October 10, the SEC charged Cumberland DRW with operating as an unregistered crypto exchange. According to the SEC’s press release,
“According to the SEC’s complaint, since at least March 2018 through the present, Cumberland has acted as an unregistered dealer by buying and selling crypto assets offered and sold as securities for its own accounts as part of its regular business.”
Acting Chief of the SEC’s Crypto Assets and Cyber Unit (CACU) stated,
“The federal securities laws require all dealers in all securities to register with the Commission, and those who operate in the crypto asset markets are no exception.”
The SEC is seeking civil penalties, disgorgement, prejudgment interest, and permanent injunction relief.
US Government Receives Green Light to Sell 69k BTC
On October 8, news surfaced that the US government received approval to sell 69k BTC. In 2022, the courts ordered Battleborn Investments to forfeit crypto holdings. The case related to the Silk Road seizure. However, this week, the US Court of Appeals ruled it will not hear an appeal against the forfeiture.
The prospect of a sizeable BTC sale impacted sentiment, driving BTC to a weekly low of $58,927. According to Arkham Intelligence, the US government has a 203,239k BTC stockpile, equivalent to $12.73 billion.