All posts tagged: us sec

Coinbase Faces Up to 0 Million Reimbursement Cost After Recent Cyberattack

Coinbase Faces Up to $400 Million Reimbursement Cost After Recent Cyberattack

Published by Webster

Coinbase recently disclosed a cyberattack on its network. As part of the attack, cybercriminals managed to steal funds from exposed users under false claims. The crypto exchange said it will voluntarily reimburse users affected by the data breach. In a filing with the US Securities and Exchange Commission (SEC), the exchange preliminarily estimated that these remediation expenses could range between $180 million (roughly Rs. 1,541 crore) and $400 million (roughly Rs. 3,426 crore). Coinbase Says Estimates Could Increase or Decrease After Thorough Review The firm submitted its 8-K filing to the SEC on May 14. It said that the losses it has estimated based on preliminary analysis could increase or decrease after a thorough review of other factors is conducted. These include indemnification claims and potential recoveries. “The company is continuing to review and bolster its anti-fraud protections to mitigate the risk that the compromised information could be used in social engineering attempts. The company is also in the process of opening a new support hub in the United States and taking other measures to …

US SEC and Binance File Joint Motion in US Court Seeking 60-Day Pause on Legal Battle

US SEC and Binance File Joint Motion in US Court Seeking 60-Day Pause on Legal Battle

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The U. SEC and Binance are seeking a 60-day pause in their legal battle, which began in June 2023. In a joint motion filed in the District Court of Columbia, both parties urged the court to grant the stay. This request follows the resignation of former SEC Chair Gary Gensler, known for his anti-crypto stance, in January. US President Donald Trump replaced him with Mark Uyeda as acting SEC chief, leading to a noticeably more lenient approach toward the crypto sector in recent months. Details on the Motion Filed The motion names Binance Holdings Limited, BAM Trading Service Inc., BAM Management US Holdings Inc., and Changpeng Zhao as defendants in the case against the SEC as the plaintiff. Collectively, the parties have moved to put a stay on this case for two months. “A district court considers three factors when deciding whether to stay a case: “(1) harm to the nonmoving party if a stay does issue; (2) the moving party’s need for a stay—that is, the harm to the moving party if a stay …

US SEC Intends to Seek Sanctions Against Elon Musk in Twitter Probe

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The U.S. Securities and Exchange Commission said on Friday it intends to seek sanctions against Elon Musk after he failed to appear for court-ordered testimony for the regulator’s probe into his $44 billion takeover of Twitter. In a filing in San Francisco federal court, the SEC said the sanctions motion would seek an order to show cause for why Musk should not be held in civil contempt for waiting until three hours before the scheduled Sept. 10 testimony to advise he would not show up. Musk, whose businesses include electric car maker Tesla and rocket company SpaceX and who is the world’s richest person, went to Florida’s Cape Canaveral that day to oversee the launch of SpaceX’s Polaris Dawn mission. But the SEC said that as SpaceX’s chief technical officer, Musk “surely was already aware” of the planned launch because the company had discussed it two days earlier. It said Musk’s actions violated a May 31 court order compelling his testimony. “Musk’s excuse itself smacks of gamesmanship,” SEC lawyer Robin Andrews wrote. “The court must …

Ether ETF Approvals in US Said to Boost Institutional Investment

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The US SEC approved eight exchange traded funds (ETFs) for Ether this month. Through ETFs, investors can engage with Ether trading via traditional stock markets – rather than having to use a crypto exchange ecosystem. Interested members of the investor community will be able to check out ETH ETF listings on Nasdaq, CBOE, and the NYSE. This development marks another landmark decision for the crypto sector at a time when it is awaiting regulatory acceptance and lawful adoption as part of the global fintech industry, experts say. The US has approved ETH ETFs from Grayscale, Bitwise, Blackrock’s iShares, VanEck, Ark 21Shares, Invesco Galaxy, Fidelity, and Franklin. As far as the investor community is concerned, the approval of these Ether ETFs in the US has diversified investment and liquidity tools for small and big investors. The decision, furthermore, comes laden with benefits for the Ether ecosystem pitching it as an acknowledged crypto asset alongside Bitcoin. In conversation with Gadgets360, Raj Kapoor, who serves as a Regional Committee Member for the US SEC, highlighted some immediate impacts …

US SEC Approves Exchange Applications to List Spot Ether ETFs

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The U.S. Securities and Exchange Commission (SEC) on Thursday approved applications from Nasdaq, CBOE and NYSE to list exchange-traded funds (ETFs) tied to the price of ether, potentially paving the way for the products to begin trading later this year. While the ETF issuers also have to get the green light before the products can launch, Thursday’s approval is a major surprise win for those firms and the cryptocurrency industry, which until Monday had expected the SEC to reject the filings. Nine issuers including VanEck, ARK Investments/21Shares and BlackRock hope to launch ETFs tied to the second-largest cryptocurrency after the SEC in January approved bitcoin ETFs in a watershed moment for the industry. “This is an exciting moment for the industry at large,” said Andrew Jacobson, vice president and head of legal at 21Shares, noting it was “a significant step” towards getting the products trading. Thursday was the deadline for the SEC to decide on VanEck’s filing. Market participants were bracing for the thumbs-down because the SEC had not engaged with them on the applications. …

US SEC to Approve Ethereum ETF in May, Standard Chartered Predicts

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The US Securities and Exchange Commission is likely to allow exchange-traded funds to hold the cryptocurrency Ethereum in May, Standard Chartered predicts. May 23 is the last date by which the agency must consider ETF applications from VanEck and Ark 21Shares, the bank said in a research report Tuesday. The asset managers will be the first to come up against the final deadline. Standard Chartered expects the SEC to rule on the applications on the final date, as it did on January 10, when it approved 10 Bitcoin ETFs. Ethereum has key similarities to Bitcoin’s legal and financial status that suggests it will follow a similar approval pattern, according to Geoff Kendrick, the head of FX Research, West, and Digital Assets Research at Standard Chartered. Last June, the SEC left Bitcoin and Ether off a list of 67 tokens it considered to be securities. In addition, Ether — like Bitcoin — also has futures traded on the Chicago Mercantile Exchange — a key surveillance tool. At about $285 billion (roughly Rs. 23,66,701 crore), Ether is …

In the SEC’s Suit Against Bankman-Fried, What About the Customers?

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Federal prosecutors and regulators from the US Securities and Exchange Commission and US Commodity Futures Trading Commission all told a similar story on Tuesday about Sam Bankman-Fried’s alleged scheme to divert billions of dollars of customers’ money from the FTX crypto exchange to Alameda Research. They all accused Bankman-Fried of fraud, asserting that he repeatedly lied when he insisted that FTX customers’ money was safe, secure and completely segregated from the affiliated but purportedly independent Alameda. According to the indictment unsealed on Tuesday in federal court in Manhattan and separate complaints filed on Tuesday by the SEC and the CFTC, Bankman-Fried knew or should have known that money was being siphoned from FTX customer accounts to fund Alameda’s speculative trading and that, despite its repeated protestations to the contrary, FTX gave Alameda special trading privileges that ultimately proved disastrous for the platform and its customers. Who were the victims of this alleged fraud? The CFTC’s complaint highlighted the deception of FTX users who, in the regulator’s telling, were duped into believing that their money was …