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Crypto enthusiast Tony Weiss supports SEC’s decision against Kik

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Crypto enthusiast Tony Weiss supports SEC's decision against Kik

Crypto enthusiast Tony Weiss supports SEC’s decision against Kik
CONTENT

  • Tony Weiss sided with the SEC and opposed Kik

  • SEC is cleaning up the cryptocurrency market

  • Formed alliance should negotiate with SEC

International consortium of news organizations developing transparency standards.

One of the most famous crypto enthusiasts and opponent of altcoins, Tony Weiss, supported the decision of the Securities Commission (SEC), which banned the activities of the Kik project.

Crypto enthusiast Tony Weiss supports SEC's decision against Kik

There is already enough fraud in the market

Well-known crypto enthusiast and crypto investor Tony Weiss made a harsh statement against the Kik project, whose activities were stopped by a court order following a petition from the US Securities Commission (SEC).

Tony Weiss sided with the SEC and said that there are enough scammers in the market, and utility ones can work into the hands of criminals, because most users do not understand how they work.

Crypto enthusiast Tony Weiss supports SEC's decision against Kik

Tony Weiss has repeatedly argued against tokens and other small coins in the market, calling them shitcoins. According to the expert, only a few coins deserve the attention of users. Among them are bitcoin, ether and a few more cryptocurrencies from the top 10.

As a reminder, the US Securities and Exchange Commission (SEC) won a lawsuit against Kik. The company is accused of illegally organizing an initial coin offering (ICO) in the amount of $ 100 million.The Federal District Court for the Southern District of New York in the United States ruled that the Kik project violated the securities law in 2017 by selling its own cryptocurrency Kin for $ 100 million through ICO. In judicial practice, “there have not yet been precedents” with the issuance of decisions in similar cases, however, the court still sided with the SEC, establishing that the Kin cryptocurrency meets the definition of a security.

SEC against cryptocurrencies

Since the beginning of the year, the US Securities Commission has blocked more than a dozen crypto projects. The loudest case was the closure of the TON platform, which Pavel Durov and the Telegram team worked on to create. After nine months of litigation with the SEC, Pavel Durov decided to close the TON project.

In February of this year, SEC representatives announced that they intend to check all unregistered tokens in America and bring their creators to justice. Between 2016 and 2020, the SEC filed 27 lawsuits against completed ICOs.

The highest fine that was upheld by the court was $ 24 million. The defendant in the case was the Block.One ICO project, which worked to create a decentralized social network. As a result, the creators raised more than $ 4.1 billion in the sale of tokens, but later admitted to the SEC charges and agreed to pay a $ 24 million fine.

ICO projects such as Bitqyck (fine $ 10,115,893), Longfin Corp (fine $ 3,243,613), Veritaseum (fine $ 1 million) and others also got into the millstones of justice..

Fearing a purge in the cryptocurrency sector, several large blockchain companies have teamed up into a single alliance for further negotiations with the US Securities Commission (SEC). The POSA alliance includes companies such as Coinbase Custody, Cardano Foundation, Polychain and Tezos, Bison Trails, AVA, Binance.US, and the Web3 Foundation and a number of other organizations that today work with blockchain technology and cryptocurrencies..

Crypto enthusiast Tony Weiss supports SEC's decision against Kik

The main goal of the union is to build an effective dialogue with the US Securities Commission, as well as to identify common approaches to regulating the activities of blockchain projects. Experts are confident that through the formation and work of the Alliance, regulators will be able to better understand the blockchain technology itself, which is beneficial for the entire ecosystem. This will help to finally determine unified approaches to regulating the issue and circulation of tokens..

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