CyberKongz, a platform for non-fungible tokens (NFTs), has been served a Wells notice by the US Securities and Exchange Commission (SEC). The platform expressed its disappointment with the SEC's actions, stating that they have been dealing with this issue for two years. The SEC's concerns revolve around the issuance of an ERC-20 token within a blockchain game without proper registration as a security. CyberKongz emphasized the potential impact of this discourse on the web3 gaming industry and vowed to defend the space. The SEC's notice suggests possible securities law violations, particularly related to the sale of Genesis Kongz NFTs in 2021, which CyberKongz claims was a contract migration. The platform criticized the lack of clarity in regulatory guidelines and called for a fairer approach from the Biden administration. This development follows similar actions taken against other crypto entities like Coinbase and OpenSea earlier this year. Read more AI-generated news on: https://app.chaingpt.org/news

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