- The SEC officially removed the case against Ian Balina.
- SPRK tokens are ruled out of security, but no further action is being pursued.
- The SEC appears to step back from many crypto suits.
In a significant development, the US Securities and Exchange Commission (SEC) moved to remove the long-registered securities suits against cryptocurrency influencer and token metrics CEO Ian Balina.
According to a joint stipulation filed on May 1 in a Federal Texas court, the SEC demanded that the case be lowered “without costs or fees on both sides.” Although the Commission did not specify the reasons for removal of the case. The report explained that the dismissal is “it does not necessarily reflect the commission's position in any other case.”
Balina, one of the top players in the ICO Boom of 2017, previously suggested that the lawsuit is about to end. In a post of march to X, he informed his fans: “It's official.” He presented the action as a success for fairness and transparency in the crypto industry.
Background of the SEC case
The SEC first brought the complaint in 2022, claimed to have sold and sold SPRK tokens, associated with the Sparkster Project, without registering. At the misunderstanding core is a investment -based telegram Balina fixed in 2018, where she is said to sell $ 5 million worth of tokens to nearly 68 individuals.
The court cooperated with the SEC in many counts, including deciding that SPRK tokens Qualified as security under the Howey Test. Balina was also accused of acting as an unregistered underwriter and failing to reveal compensation for promotion, violation of Section 17 (B).
While the Sparkster and its CEO have previously lived in Sec For $ 35 million, Balina continued to fight charges until it was recently removed.
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