Media Coverage
Source: Blockworks
Media Coverage
Press Contacts: Erik Cummins, Matt Hyams, Taina Rosa, Olivia Thomas
07.17.24
On July 9, Paxos disclosed that it had received a termination notice from the staff of the SEC’s Division of Enforcement. The termination notice, which is a formal letter from the staff indicating that they are declining to recommend an enforcement action, marks the end of a lengthy investigation that led to the issuance of a Wells Notice in February 2023.
The SEC’s investigation of Paxos is one chapter in the SEC’s ongoing efforts to shape the digital asset markets.
“The SEC’s decision to not bring an enforcement action against Paxos signals that it may consider that USD-backed stablecoins are not securities,” Corporate Investigations & White Collar Defense partner David Oliwenstein said.
“If the question of whether stablecoins are securities is definitely answered, the SEC would provide a necessary degree of regulatory certainty to this asset class,” he added.
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