{"id":39788,"date":"2021-03-30T10:09:38","date_gmt":"2021-03-30T07:09:38","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=39788"},"modified":"2025-08-30T11:19:03","modified_gmt":"2025-08-30T08:19:03","slug":"sec-files-suit-against-blockchain-startup-lbry","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/sec-files-suit-against-blockchain-startup-lbry\/","title":{"rendered":"SEC Files Suit Against Blockchain Startup LBRY"},"content":{"rendered":"<p>The U.S. Securities and Exchange Commission (SEC) has filed suit against the decentralized content-publishing platform LBRY. The regulator accuses the blockchain startup of selling unregistered securities in the form of the LBC token.<\/p>\n<p><!--more--><\/p>\n<p>According to the filing, since July 2016 LBRY offered digital assets &#8216;to numerous investors&#8217;, including U.S. citizens.<\/p>\n<p>The regulator also noted that LBRY <a href=\"https:\/\/lbry.tv\/@lbry:3f\/market-making:2\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">cooperated with a cryptocurrency market maker<\/a>, which acted as an intermediary in the purchase and sale of LBC.<\/p>\n<p>The platform&#8217;s team called the SEC&#8217;s allegations <a href=\"https:\/\/helplbrysavecrypto.com\/faq\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">a threat<\/a> to the industry and stressed that LBC tokens are not securities.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">HELP US SAVE CRYPTO<br \/>The future of crypto in US is at risk.<\/p>\n<p>The SEC are suing us and saying LBC is a security \u2014 it\u2019s not!<a href=\"https:\/\/t.co\/ALAVmgDsDI\">https:\/\/t.co\/ALAVmgDsDI<\/a><a href=\"https:\/\/twitter.com\/hashtag\/helplbrysavecrypto?src=hash&#038;ref_src=twsrc%5Etfw\">#helplbrysavecrypto<\/a> <a href=\"https:\/\/t.co\/bJIOOgXeyY\">pic.twitter.com\/bJIOOgXeyY<\/a><\/p>\n<p>\u2014 LBRY \ud83d\ude80 (@LBRYcom) <a href=\"https:\/\/twitter.com\/LBRYcom\/status\/1376651363875135491?ref_src=twsrc%5Etfw\">March 29, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div>\n<\/figure>\n<p>Lawyer Jeremy Hogan warned of risks to the industry, saying Ripple is &#8220;not the first and not the last&#8221;.<\/p>\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\">\n<div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\">\n<p lang=\"en\" dir=\"ltr\">Just today the SEC filed another lawsuit against a crypto-currency company  \u2014 LBRY, Inc. and the LBC coin.  Ripple wasn&#8217;t the first and won&#8217;t be the last.  The whole industry is at risk.<a href=\"https:\/\/t.co\/6xxsCwl2E0\">https:\/\/t.co\/6xxsCwl2E0<\/a><\/p>\n<p>\u2014 Jeremy Hogan (@attorneyjeremy1) <a href=\"https:\/\/twitter.com\/attorneyjeremy1\/status\/1376707286681452544?ref_src=twsrc%5Etfw\">March 30, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div>\n<\/figure>\n<p>In December 2020, the SEC accused Ripple of selling unregistered securities in the form of XRP tokens.<\/p>\n<p>In February 2021, the commission filed <a href=\"https:\/\/u1f987.com\/en\/news\/sec-clarifies-brad-garlinghouses-liability-in-ripple-lawsuit\"> an amended version of the complaint<\/a>, focusing on the actions of co-founder Chris Larsen and CEO Brad Garlinghouse. The latter called the regulator&#8217;s actions &#8220;<a href=\"https:\/\/u1f987.com\/en\/news\/ripple-ceo-brad-garlinghouse-calls-sec-lawsuit-regulatory-overreach\">regulatory overreach<\/a>&#8220;.<\/p>\n<p>Later, the SEC<a href=\"https:\/\/u1f987.com\/en\/news\/sec-seeks-ripple-executives-personal-financial-information\"> requested<\/a> data from six banks on Larsen&#8217;s and Garlinghouse&#8217;s personal financial transactions over the past eight years.<\/p>\n<p>Against this backdrop, a number of major crypto firms and platforms<a href=\"https:\/\/u1f987.com\/en\/news\/coinbase-and-okcoin-halt-xrp-trading-amid-sec-lawsuit\"> bailed from supporting XRP, among them \u2014 Coinbase and OKCoin<\/a>,<a href=\"https:\/\/u1f987.com\/en\/news\/galaxy-digital-halts-support-for-ripple-token-amid-sec-lawsuit\"> Galaxy Digital<\/a>,<a href=\"https:\/\/u1f987.com\/en\/news\/grayscale-investments-to-liquidate-xrp-based-investment-trust\"> Grayscale Investments<\/a>,<a href=\"https:\/\/u1f987.com\/en\/news\/bitstamp-halts-xrp-trading-for-us-customers-as-token-price-resumes-decline\"> Bitstamp<\/a> and<a href=\"https:\/\/u1f987.com\/en\/news\/moneygram-halts-cooperation-with-ripple-amid-sec-lawsuit\"> MoneyGram<\/a>. In March<a href=\"https:\/\/u1f987.com\/en\/news\/ripple-ends-its-partnership-with-moneygram\"> Ripple ended<\/a> its cooperation with the latter.<\/p>\n<p>In the same month, a lawyer for the SEC stated that the sale of XRP by exchanges and other venues<a href=\"https:\/\/u1f987.com\/en\/news\/sec-exchanges-are-not-violating-rules-by-listing-xrp\"> does not violate<\/a> the commission&#8217;s guidelines.<\/p>\n<p><p  style=\" margin: 12px auto 6px auto; font-family: Helvetica,Arial,Sans-serif; font-style: normal; font-variant: normal; font-weight: normal; font-size: 14px; line-height: normal; font-size-adjust: none; font-stretch: normal; -x-system-font: none; display: block;\">   <a title=\"View Comp 25060 on Scribd\" href=\"https:\/\/www.scribd.com\/document\/500881837\/Comp-25060#from_embed\"  style=\"text-decoration: underline;\" >Comp 25060<\/a> by <a title=\"View ForkLog's profile on Scribd\" href=\"https:\/\/www.scribd.com\/user\/456422024\/ForkLog#from_embed\"  style=\"text-decoration: underline;\" >ForkLog<\/a> on Scribd<\/p>\n<p><iframe loading=\"lazy\" class=\"scribd_iframe_embed\" title=\"Comp 25060\" src=\"https:\/\/ru.scribd.com\/embeds\/500881837\/content?start_page=1&#038;view_mode=scroll&#038;access_key=key-FHE0xHfve6Jo81FqDlXA\" data-auto-height=\"false\" data-aspect-ratio=\"0.7729220222793488\" scrolling=\"no\" id=\"doc_41764\" width=\"100%\" height=\"600\" frameborder=\"0\"><\/iframe><\/p>\n<p>Follow ForkLog news on <a href=\"https:\/\/vk.com\/forklogcom\" target=\"_blank\" rel=\"nofollow noopener\">VK<\/a>!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The SEC has filed a lawsuit against the decentralized content-publishing platform LBRY. The regulator accuses the blockchain startup of selling unregistered securities in the form of the LBC token.<\/p>\n","protected":false},"author":1,"featured_media":39789,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1162,128,26],"class_list":["post-39788","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-court-cases","tag-sec","tag-usa"],"aioseo_notices":[],"amp_enabled":true,"views":"26","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39788","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=39788"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39788\/revisions"}],"predecessor-version":[{"id":39790,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39788\/revisions\/39790"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/39789"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=39788"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=39788"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=39788"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}