On Nov. 7, 2022, the U.S. District Court for the District of New Hampshire granted the Securities and Exchange Commission’s motion for summary judgment in SEC v. LBRY, Inc., awarding the SEC another victory in the cryptocurrency space. In its complaint, the SEC alleged that defendant LBRY Inc.’s offer and sale of its LBC digital token constituted an unregistered securities offering in violation of section 5 of the Securities Act of 1933. In granting the SEC’s summary judgment motion, the court agreed, declaring that “no reasonable trier of fact could reject the SEC’s contention that LBRY offered LBC as a security.” Practitioners should note some key language in the court’s opinion given the SEC’s ongoing cryptocurrency enforcement campaign.
SEC v. LBRY, Inc.: The SEC’s Latest Crypto Victory
