The Securities and Exchange Commission sued crypto firm Consensys Thursday for alleged violations of securities law.
In the lawsuit, filed in the New York Eastern District, the federal agency targeted MetaMask, the crypto wallet that Consensys developed and manages.
It said that its MetaMask Swaps service, which lets users exchange one cryptocurrency for another, is an unregistered broker of securities.
In addition, the SEC alleged that MetaMask has sold unregistered securities on behalf of Lido and Rocket Pool, two liquid staking services.
Both services offer tradeable cryptocurrencies: stETH or rETH, respectively.
“Consensys, for its part, brokers and also offers and sells these securities in unregistered transactions through its ‘MetaMask Staking’ platform,” the SEC alleged.
The SEC and Consensys didn’t immediately respond to a request for comment.
This story is breaking and will be updated.
