{"id":36693,"date":"2024-08-26T22:37:03","date_gmt":"2024-08-26T22:37:03","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/sec-charges-abra-for-offering-unregistered-crypto-securities\/"},"modified":"2024-08-26T22:37:03","modified_gmt":"2024-08-26T22:37:03","slug":"sec-charges-abra-for-offering-unregistered-crypto-securities","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/sec-charges-abra-for-offering-unregistered-crypto-securities\/","title":{"rendered":"SEC charges Abra for offering unregistered crypto securities"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison )<\/b><br \/>\n<\/p>\n<div>\n<div class=\"post-article-image  -mt-24  mb-8  lg:-mt-32  rounded  overflow-hidden\">\n<picture><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2024\/04\/sec-logo-smartcrop-750x375.webp\" type=\"image\/webp\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2024\/04\/sec-logo-smartcrop-363x181.webp\" type=\"image\/webp\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2024\/04\/sec-logo-smartcrop-750x375.jpg\" type=\"image\/jpeg\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2024\/04\/sec-logo-smartcrop-363x181.jpg\" type=\"image\/jpeg\"\/>\n<\/picture>                    <\/div>\n<ul>\n<li><span style=\"font-weight: 400\">SEC has charged Abra with securities violations related to the crypto platform\u2019s Abra Earn program.<\/span><\/li>\n<li><span style=\"font-weight: 400\">The regulator previously charged Genesis and Gemini crypto exchange over securities violations related to Gemini Earn.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">The US Securities and Exchange Commission has charged crypto platform Abra with the offer and sale of unregistered securities.<\/span><\/p>\n<p><span style=\"font-weight: 400\">SEC\u2019s charges filed against Plutus Lending LLC <a href=\"https:\/\/www.sec.gov\/newsroom\/press-releases\/2024-105\" target=\"_blank\" rel=\"noopener\">allege<\/a> that Abra\u2019s retail crypto lending product Abra Earn was offered to US investors. The platform began offering the product in July 2020 and at its peak had nearly $500 million of its $600 million in assets from investors in the US.<\/span><\/p>\n<h2><span style=\"font-weight: 400\">SEC alleges Abra operated as unregistered investment compny<\/span><\/h2>\n<p><span style=\"font-weight: 400\">According to the SEC, Abra marketed its Earn product promising interest to investors and that the platform used investor funds on various income-generating activities. The effort also helped the company fund interest payments.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The SEC alleges therefore that Abra offered the Earn program as a security, violating the law by operating as an unregistered investment company for two years. Per SEC\u2019s complaint, Abra initiated a halt of its Earn program in the US in June 2023.<\/span><\/p>\n<p><span style=\"font-weight: 400\">\u201cTo settle the Commission\u2019s charges, Abra, without admitting or denying the SEC\u2019s allegations, has consented to an injunction prohibiting it from violating the registration provisions of the Securities Act and the Investment Company Act and requiring it to pay civil penalties in amounts to be determined by the court,\u201d the SEC said in a press release.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Abra recently settled with 25 US states for operating in those jurisdictions with licenses. Notably also, the charges relating to Abra Earn are similar to those filed against <a href=\"https:\/\/coinjournal.net\/news\/us-sec-has-filed-charges-against-gemini-and-genesis\/\">Genesis and Gemini<\/a> over the Gemini Earn program in January 2023. Genesis <a href=\"https:\/\/coinjournal.net\/news\/genesis-agrees-to-21m-sec-settlement-over-gemini-earn\/\">settled with the SEC<\/a> earlier this year.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Meanwhile, news of SEC\u2019s charges against Abra also come just days after a US judge ruled that the regulator\u2019s lawsuit against Kraken can proceed. The SEC has cases against Binance, Coinbase and Consensys.<\/span><\/p>\n<div class=\"post-meta\">\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Share this article<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Categories<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/sec-charges-abra-for-offering-unregistered-crypto-securities\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison ) SEC has charged Abra with securities violations related to the crypto platform\u2019s Abra Earn program. The regulator previously charged Genesis and Gemini crypto exchange over securities violations related to Gemini Earn. The US Securities and Exchange Commission has charged crypto platform [&hellip;]<\/p>\n","protected":false},"author":13,"featured_media":36694,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/36693"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/13"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=36693"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/36693\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/36694"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=36693"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=36693"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=36693"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}