After Immutable got a Wells notice from the SEC, it occupied itself in a ten-minute call with the agency.
Talking about Wells notice, it is an official letter issued by the Securities and Exchange Commission that notifies a body that the regulator is seeking an enforcement action.
Before issuing the Wells notice, the company had done multiple rounds of conversations with the SEC, so the Commission was well aware of the situation.
Immutable, an Australian crypto assets gaming company has received a Wells notice from the regulator of the United States Securities and Exchange Commission. After receiving the notice, the gaming company has specified that it will fight every potential enforcement action.
Immutable issued an statement on November 1 in which it stated that the Commission has not clarified the allegations in the notice and also the firm believes that the claims are targeted at the listing and private sales in 2021 of the firm’s native IMX token
SEC is incorrect- Immutable
SEC has sent Wells notice to a number of companies in 2024 such as OpenSea, Crypto.com as well as Uniswap. After Immutable got a Wells notice from the SEC, it occupied itself in a ten-minute call with the agency.
In that ten minute call, the Securities and Exchnage Commission claimed a blog post made by the crypto assets gaming company in 2021. In that post, a pre-launch investment in the IMX token at the price of $0.10 was mentioned. The token was issued at a “$10 pre-100:1 split” was not correct and suggested there was no exchange of value between the parties.
Immutable has given a reply in which he mentioned that, Once again, the SEC is not correct: there was actual concern, which they would have understood by having a good communication with the firm.
The SEC and its Wells notice
Talking about Wells notice, it is an official letter issued by the Securities and Exchange Commission that notifies a body that the regulator is seeking an enforcement action. A Wells notice is also an indication that the Commission is done with the investigation and has come across each and every evidence of possible breach of the securities laws.
Adding more to this, the gaming company has revealed that it was not happy at all as the regulator has issued the Wells notice. The company also mentioned that the notice appeared suddenly with no or little warning.
Before issuing the Wells notice, the company had done multiple rounds of conversations with the SEC, so the Commission was well aware of the situation. Alternatively, SEC has told Immutable in the first interaction that the Wells notice will be sent within a week which was somehow sent within hours only.
Giving response to the potential enforcement action, the gaming company claimed that it was optimistic in its position and will not stop fighting back against it. Also, in spite of SEC’s claims that tokens in the industry are securities, we are very optimistic that the IMX token is not.
