According to Foresight News, Variant Fund Chief Legal Officer Jake Chervinsky criticized the U.S. Securities and Exchange Commission (SEC) for abusing the Wells procedure as a scare tactic. He pointed out that the number of Wells notices sent by the SEC regarding cryptocurrencies in recent months is shocking, and it is hard to imagine that they would or could take so many enforcement actions at the same time. If the SEC takes as many enforcement actions as it issues Wells notices, it would be in blatant violation of the law and its congressional authorization. If not, then it is clearly abusing the Wells procedure to intimidate honest American companies for free.