The U.S. Securities and Exchange Commission (SEC) sent out a warning from its Investor Education and Advocacy wing, urging citizens to be "cautious if considering an investment in an IEO." and that "... IEOs may be conducted in violation of the federal securities laws and lack many of the investor protections of registered and exempt securities offerings."
The SEC may crack down on IEOs, similar to how they chased down several ICOs over the past few years, with the SEC saying that IEOs might need multiple forms of approval and licensure from the commission, and to be wary if "the IEO and its participants, including the online trading platform, do not address or discuss the applicability of the federal securities laws."
FBI's victim specialist Valerie Gauthier, is now reaching out to QuadrigaCX victims via email to notify them of the new portal which would contain information about the case and confirming that the agency is now investigating the exchange's collapse. Gauthier also said that the criminal case investigation would take long and the agency can't disclose information about the progress at this time.
The FBI is one of at least four agencies looking into QuadrigaCX, along with the Royal Canadian Mounted Police.
Known fraud Craig Wright has told the court that he has received the keys to access the $8.9 billion crypto fund, the Tulip Trust. The Tulip Trust is the 1.1 million BTC stash that he and former business partner David Kleiman mined together years ago. With Kleiman's death in 2013, his surviving brother is now suing Wright for half of the BTC in the trust's custody. Paperwork filed by Wright states that "Dr. Wright notifies the Court that a third party has provided the necessary information and key slice to unlock the encrypted file, and Dr. Wright has produced a list of his bitcoin holdings, as ordered by the Magistrate Judge, to plaintiffs today."
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