SEC fines in crypto surge to $4.7 billion in 2024
The U.S. Securities and Exchange Commission (SEC) dramatically increased its cryptocurrency enforcement actions in 2024, reaching $4.7 billion in fines, a massive 3,018% jump from $150.3 million in 2023.
This surge, highlighted in a Social Capital Markets report, is driven mainly by fewer cases with larger penalties.
The SEC's focus has shifted to imposing higher fines, averaging $426 million per case, compared to $14.71 million in 2022.
A significant factor contributing to the 2024 total is the record-breaking $4.47 billion settlement with Terraform Labs and its former CEO, Do Kwon, following the collapse of TerraUSD (CRYPTO:UST).
This marked the largest enforcement action in SEC history and addressed issues like investor deception and unregistered securities offerings.
The total $4.68 billion in fines for 2024 encompasses various penalties, including forfeiture, disgorgement, civil fines, settlements, and prejudgment interest.
Despite a reduction in enforcement cases from 30 in 2023 to 11 in 2024, the SEC's strategy reflects a clear shift toward impactful actions that set industry-wide precedents.
"This trend indicates a strategic shift by the SEC toward fewer but larger fines," the report states, emphasising the agency's intent to focus on high-impact cases.
Other significant fines in 2024 included those against GTV Media Group and fraudsters John and Tina Barksdale, each exceeding $100 million.
Since 2013, the SEC has issued over $7.42 billion in crypto-related fines, with 63% of that total occurring in 2024 alone.
Most penalties were substantial, with 46% of fines exceeding $1 billion.
Penalties ranged from $1 million to $10 million for smaller firms and went below $1 million for minor infractions, reflecting ongoing scrutiny across the cryptocurrency sector.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Trump cabinet sued over Signal leak of war plans as Mike Waltz takes full responsibility
Share link:In this post: Five Trump cabinet members are being sued for using Signal to discuss Yemen airstrikes without preserving records. Atlantic editor Jeffrey Goldberg was accidentally added to the Signal group discussing military plans. Mike Waltz admitted he created the group and said he takes full responsibility for the leak.
France is using AI to clamp down on tax fraud
Share link:In this post: France ramps up AI-driven tax fraud detection, uncovering €16.7 billion in violations and exposing fraudulent renovation grants. Authorities enhance data sharing and AI tools to combat financial crime amid economic pressures and rising government spending. French art expert Bill Pallot faces trial over a €4.5 million antique forgery scheme that deceived the Palace of Versailles and private collectors.

NAVXUSDT now launched for futures trading and trading bots
Is Arizona Set to Pioneer a Crypto Reserve in the U.S?
Arizona's Bitcoin Reserve Bills: A Potential Game-Changer for Digital Asset Adoption, Despite Governor's Uncertain Veto Power

Trending news
MoreCrypto prices
More








