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Title: CyberKongz Receives “Concerning Rhetoric” in Wells Notice from SEC
CyberKongz has received a Wells notice from the Securities and Exchange Commission (SEC), which is a formal communication indicating that the agency is considering taking legal action against the platform. In response, CyberKongz has expressed concern over what it calls “inadequate guidance” and “regulatory uncertainty” in the NFT market.
The SEC’s concerns center on the company’s Genesis Kongz NFTs, which were distributed to holders in April 2021. CyberKongz maintains that this was not a sale but rather a contract migration, stating that it is essential for regulatory clarity in the space.
“We hope that the new administration puts an end to this unjustness on our industry,” said CyberKongz, adding that they will continue to fight for the rights of NFT projects across all chains.
This development follows similar warnings and legal action taken by the SEC against other crypto companies. Coinbase, OpenSea, and Immutable received Wells notices earlier this year.
CyberKongz emphasized its commitment to transparency and compliance with regulatory requirements, stating that it has been working closely with the SEC since 2020 to address any concerns or issues.
As the NFT market continues to grow rapidly, regulators are increasingly focusing on the space.
Source: coinjournal.net
