SEC takes first action against an NFT project as an unregistered security

Today, the SEC announced its first enforcement action against NFTs in a case that was settled by Impact Theory, the NFTs’ issuer.

The SEC said the NFTs issued by Impact Theory were unlicensed securities. The company agreed to a cease-and-desist order, paid $6.1 million in penalties, and agreed to destroy all of the NFTs in question still in its control. Impact Theory will also eliminate any royalties that it might have received from …

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