FTX Expects to Make Customers 100% Whole, Will Not Re-Launch Crypto Exchange

FTX Expects to Pay Crypto Customers in Full, Won’t Restart Exchange

FTX, the bankrupt cryptocurrency exchange that was run by Sam Bankman-Fried, said it expects to fully repay its customers, according to a court hearing.

However, the full recovery of customer assets is – unfortunately for those waiting for their money – based on the point of FTX’s actual bankruptcy, when the markets were already in turmoil. That date was preliminarily approved by U.S. Bankruptcy Judge John Dorsey, and it’s a point of contention for some claimants.

SEC plans to dismiss case against DEBT Box after admitting inaccurate statements were made

The Securities and Exchange Commission is looking to dismiss its lawsuit against crypto startup DEBT Box after the agency’s lawyers admitted inaccurate statements were made in court.

The agency, which first sued Digital Licensing Inc., doing business as DEBT Box, in July, told Utah U.S. District Court Judge Robert Shelby that it planned to dismiss the action without prejudice, meaning the SEC can still refile its case.

“The Commission has determined that the best way to proceed is to dismiss this action without prejudice. Thus, the Commission has authorized the filing of a motion to dismiss this action without prejudice, which will be forthcoming,” SEC lawyers said in a filing on Tuesday.

SEC’s X account hack rehashes concerns over agency’s data security

Louisiana Republican Sen. John Kennedy, a member of the Senate Banking Committee which oversees the SEC, exclusively told FOX Business that the risk to investor privacy is “clearer than ever” after an unknown party on Jan. 9 gained unauthorized access to the official SEC account on X and posted an erroneous message to the agency’s 750,000 followers, announcing the SEC had approved the launch of 11 new bitcoin ETFs.

Kennedy says he plans to push harder for legislation that he introduced to the Senate in July that would restrict the SEC’s mining of investors’ financial and personal data, which he says is unconstitutional.

“The recent hacking of the SEC’s X account proves just how badly Americans need the Protecting Investors’ Personally Identifiable Information Act to safeguard their sensitive data,” Kennedy said in a statement to FOX Business. “The risk is clearer than ever, as is Congress’s responsibility to act.”

SEC Defends Use of Email to Serve Alleged Ponzi Fraudster Abroad

The US Securities and Exchange Commission wants to convince the Third Circuit, a federal appeals court, that it was appropriate to serve a lawsuit via email on an alleged Ponzi scheme fraudster living overseas, after exhaustive efforts concluded his foreign address was unknown.

The commission’s suit, filed in March 2020, alleges businessman Thomas Megas and estate lawyer Todd Lahr sold more than $1.4 million in unregistered securities as part of a multi-year Ponzi scheme involving traditional mining investments and spent some of the proceeds on personal expenses such as college tuition, car maintenance, and ski lift tickets.

Elon Musk Wants to Move Tesla From Delaware to Texas

Elon Musk said Tesla would hold a shareholder vote to decide whether to move its state of incorporation to the Lone Star State after a Delaware court ordered him to give up a compensation package valued at $55.8 billion.

“The public vote is unequivocally in favor of Texas,” Musk said Thursday in a post on X. “Tesla will move immediately to hold a shareholder vote,” he said after conducting a poll on the platform.

California Climate Reporting Suit Foreshadows SEC Legal Battle

The SEC has seen the clearest preview yet of the looming court fight over its pending climate disclosure plans: a lawsuit from business advocates and farmers seeking to kill California’s emissions reporting law.

The US Chamber of Commerce, American Farm Bureau Federation and other business and agricultural groups on Tuesday sued to stop California’s first-in-the-nation law directing companies operating in the state to disclose their greenhouse gas emissions. The statute compels speech from businesses in violation of the First Amendment and conflicts with other federal laws on interstate commerce, the groups said in their complaint.

Coinbase and Its CEO Prep ‘War Chest’ for Pro-Crypto Politicians

With two of his most-formidable competitors in prison or likely headed there soon, Brian Armstrong has emerged as arguably the most-powerful leader in the digital-asset industry. And his ascendancy comes at an intriguing time: the start of campaign season for a US election that his company has described as “the most consequential in crypto’s history.”

The Coinbase Global Inc. chief executive officer’s rising influence is being bolstered by his own resurging affluence, with Armstrong putting some of his fortune to work to help fund what he calls a “war chest” to support crypto-friendly politicians as the industry remains pressured by a US government crackdown that began last year. He personally has donated $1 million to the Fairshake super-PAC and Coinbase itself kicked in another $24.5 million, according to Josh Vlasto, a spokesperson for the political action committee.