• According to data shared by Solidus Labs, the U.S. regulatory agencies SEC, CFTC, and FinCEN have taken a total of 58 enforcement actions against crypto projects in the last year; a 65% increase from 2021.
• The SEC has been crypto’s biggest opposer and has announced 30 actions against projects and companies in the sector, including LBRY and Ripple.
• The CFTC has also recorded 19 cases against crypto projects, making it the second most active U.S. regulator in the sector.
Cryptocurrency and blockchain technology have been growing in popularity at an astonishing rate over the past decade, with investors, entrepreneurs, and hobbyists alike all taking part in the industry. But despite its meteoric rise, the crypto space isn’t without its share of critics and opponents, particularly from regulators in the United States.
Recent data from Solidus Labs shows that the Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC), and the Financial Crimes Enforcement Network (FinCEN) have taken a total of 58 enforcement actions against crypto projects in the last year. This figure is a 65% increase from 2021 and around 60% from the year before, highlighting a growing trend of regulation and oversight in the industry.
The SEC has been the biggest opponent to the crypto sector, with the agency announcing 30 enforcement actions against projects and companies in the space over the past year. Most notably, the Commission has taken legal action against peer-to-peer digital marketplace LBRY, as well as payment company Ripple, where the case is still ongoing as the Commission attempts to gain more control over the industry.
The CFTC is the second most active U.S. regulator in the space, having taken 19 enforcement actions against crypto projects in the last year. The Commission has opened cases against high-profile companies such as ErisX, LedgerX, and Circle, as well as issuing fines to projects such as Coinbase and Kraken for failing to meet certain regulations.
The data shows that U.S. regulators are increasingly targeting the crypto space, and that the legal actions taken have been the highest for almost a decade. This is perhaps indicative of the growing acceptance of the industry, as well as the fact that more and more companies are entering the space and requiring greater oversight and regulation.
Overall, it’s clear that the crypto space is under greater scrutiny from U.S. regulators, and that companies in the sector should be aware of all the relevant regulations and laws to ensure that they remain compliant. Although the space is still relatively new and largely unregulated, it is likely that regulation will become more stringent as the industry continues to grow.