Originally published on: November 25, 2024
The United States Securities and Exchange Commission (SEC) has shattered all records by raking in a staggering $8.2 billion in penalties and fines through its enforcement actions in the fiscal year 2024. This remarkable feat was achieved through a massive settlement with crypto firm Terraform Labs.
In its annual report released on Nov. 22, the SEC disclosed that this financial treasure was amassed by Sept. 30, marking it as the highest amount ever received by the regulator. A significant portion of this sum, a whopping $4.47 billion, came from a legal victory against Terraform and its former CEO, Do Kwon.
Despite this historic achievement, it is worth noting that without the $4.47 billion settlement, the SEC’s financial inflow would have stood at $3.72 billion, the lowest figure since 2013.
Meanwhile, on Nov. 21, the Australian Treasury Department unveiled its consultation paper contemplating the implementation of the Organisation for Economic Co-operation and Development’s (OECD) Crypto-Asset Reporting Framework (CARF). The primary goal of this framework is to standardize tax data collection on crypto asset transactions and facilitate the sharing of this vital information among tax authorities.
Two distinct options have been proposed for the implementation of CARF in Australia – a tailored approach catering to the specific requirements of the Australian Taxation Office or a more encompassing incorporation of the framework into Australian tax legislation.
Just a day earlier, a judge in the People’s Court of Songjiang District in Shanghai, China, made a significant revelation on the legal status of digital currency issuance in the country. According to Judge Sun Jie, digital currency is not recognized as a fiat currency but rather classified as a virtual commodity possessing “property attributes.” Jie underscored that while individuals can lawfully hold virtual currency, commercial entities are forbidden from engaging in virtual currency investment transactions or issuing tokens independently.
The article by Judge Sun Jie serves as a critical addition to the ongoing discourse surrounding digital currencies and their legal implications.
Furthermore, in a separate development, Alexey Pertsev, the developer of the crypto mixing protocol Tornado Cash, has been ordered to remain in pre-trial detention following a court decision. Expressing his determination to fight for justice, Pertsev conveyed his disappointment in an online post, highlighting the challenges posed by the court’s ruling in his appeal preparations.
Lastly, several Democratic Party members of the US House of Representatives have raised concerns regarding the continued operation of Tornado Cash services despite being sanctioned in 2022. Demanding clarity from Treasury officials, these lawmakers seek answers on the regulatory oversight of services such as Tornado Cash and their compliance with existing guidelines.
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