Helium, a Solana-based cryptocurrency project focused on decentralized wireless networks, is celebrating a significant victory. The US Securities and Exchange Commission (SEC) has dropped its lawsuit against the project’s developers, Nova Labs.
SEC Drops the Hammer (Gently)
The SEC initially accused Nova Labs of violating securities laws by distributing unregistered securities. However, Nova Labs agreed to pay a $200,000 settlement to resolve the case without admitting any wrongdoing. This settlement resulted in the SEC dismissing its claims “with prejudice,” meaning they can’t refile the same charges against Helium.
HNT Price Jumps
The news sent HNT’s price soaring. Within a day, the price jumped from $2.62 to a high of $3.03, a significant increase. While it has since slightly retreated, it’s still up roughly 10% over the past 24 hours.
A Win for DePIN and Crypto
Helium’s team hailed the dismissal as a “landmark outcome” for the cryptocurrency industry and for DePIN (Decentralized Physical Infrastructure Networks). They argue the decision clarifies that using tokens to incentivize the growth of real-world infrastructure doesn’t automatically classify those tokens as securities under SEC regulations.
More SEC Setbacks
This isn’t the first time the SEC has dropped a lawsuit against a major player in the crypto space this year. Other companies that have seen similar outcomes include Kraken, Coinbase, Robinhood, OpenSea, and MetaMask.
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before investing in cryptocurrencies.
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