We previously reported that, in November 2018, in a first of its kind case, the SEC charged celebrities DJ Khaled and Floyd Mayweather with touting violations involving ICOs. Without admitting or denying the findings, Mayweather and Khaled agreed to pay disgorgement, penalties and interest. One of the ICOs that they touted was Centra Tech. They were also sued for securities law violations in a civil case brought by Centra Tech investors. The case was based on…
The U.S. SEC has shown it seriousness in cracking down on noncompliant ICOs by pursuing enforcement in a number of different ways. We have reported on the SEC’s recent first-time enforcement action against an entity for operating as an unregulated national securities exchange and its recent first cases imposing civil penalties solely for ICO securities offering registration violations. Yesterday marked another new first. The cases brought against celebrities DJ Khaled and Floyd Mayweather were the first…