August 27, 2024
SEC settles with Abra over sale of unregistered securities.
According to the Securities and Exchange Commission (SEC), the cryptocurrency investment platform Abra sold nearly half a billion dollars of securities to U.S. investors without complying with registration requirements. The SEC accused Abra of operating as an unregistered investment company for at least 2 years. Abra has agreed to sanctions, including a ban on violating U.S. securities laws and civil penalties. This is Abra's second settlement with the SEC, following a prior agreement regarding its swaps product.
The possible impacts on the prices and activities of some cryptocurrencies such as BTC, TON, and NOT after the news about Abra being investigated by the SEC and reaching a settlement agreement:
Bitcoin (BTC):
This information may raise some concerns about the increasing intervention and control of regulatory agencies over cryptocurrency-related activities.
This could psychologically impact investors, leading to short-term price volatility.
However, as BTC is a large and widely accepted cryptocurrency, the long-term impact may be limited.
TON (Telegram Open Network):
This information may reinforce the regulators' view that some cryptocurrency projects like TON need to comply with securities regulations.
This could affect the development plans and progress of the TON project in the future.
Investors may also become more cautious about new cryptocurrency projects, especially those that have not yet been officially approved.
NOT (Numeraire):
Since NOT is the native token of the Numeraire platform, the information about Abra may not directly affect NOT.
However, regulatory intervention could raise general concerns about the legal environment for cryptocurrency projects, which could indirectly impact NOT.
Investors may become more cautious about cryptocurrency tokens, especially those that have not yet gained widespread acceptance.
