SEC Reaches $10M Settlement With BitTorrent Owner
- Rainberry Inc., the company behind BitTorrent, will pay a $10 million civil penalty.
- The SEC will dismiss remaining securities and market-manipulation claims against Justin Sun and related entities.
- The proposed settlement includes an injunction against Rainberry from engaging in deceptive practices in securities offerings.
- The case was initially filed in federal court in New York in early 2023.
- The settlement must be approved by a federal judge in the Southern District of New York.
This settlement marks a significant step towards resolving allegations against Justin Sun for selling unregistered securities and manipulating the market for TRX tokens through wash trading. The SEC’s decision reflects a broader shift in U.S. crypto enforcement strategies following leadership changes at the agency.
Rainberry’s agreement to pay the penalty without admitting or denying allegations allows the SEC to close this high-profile case while recalibrating its approach to digital asset regulation. (Source)
