SEC reaches agreement with Longfin for fraud charges
The intention of SEC is to continue deepening its investigations in order to reduce the number of crimes in the crypto world
Every day the regulatory agencies around the world are reqaching a very important role in the crypto world, in order to try to apply the existing financial regulations to the particular cases where cryptocurrencies or blockchain technology are used in finance.
It is due to two main reasons. The first one describes the increase in the number of private projects related to large crypto assets, such as the virtual currency of Facebook, Libra, announced last year and competing currencies such as the Gram of Telegram.
The second reason for this increase in regulatory activity is the amount of cybercrimes committed involved with crypto assets. Either with fraudulent investment schemes or robberies to platforms like Binance.
Fight against cybercrime
One of these interventions against cybercrime by the Securities and Exchange Commission (SEC) was fraud by the financial technology company, Longfin, which would have lied to US investors about its launch on the Nasdaq stock exchange, culminating with returns of 3.5 million dollars and a fine of 3.2 million.
The case of Longfin can be considered, within the world of financial technology, as an example of how the State can act positively to protect the rights of citizens, even when it comes to new technologies, such as those used by Longfin.
K.Villarroel
Source: thebtctimes
