Mithun, headed by Vinklevos Twin, is the latest crypto firm to shake the US Securities and Exchange Commission, as the agency stopped its investigation after almost two years.
According to co-founder Cameron Winklevos, the Commission has decided not to proceed with enforcement action against Mithun, about 700 days after starting its investigation and 277 days after issuing the Wales notice.
Mithun was originally accused in January 2023 on the Global Capital as well as its now-diferous program, which included the SEC claimed that the sale of unregistered securities was involved. The program allowed users to lend to crypto assets in exchange for yield, but the 2022 bear collapsed after stopping the origin during the market.
Although the case is now closed, the SEC made it clear that it is not an official boycott and left the door open for future action.
Winklevos recently called Vikas a milestone to end “the war on Crypto”, but argued that it is “dollars of millions of dollars in legal bills” and much less to reduce widespread failures on industry.
He said, “SEC behavior in aggregation towards other crypto companies and projects spends more magnitude orders and caused ineligible loss in economic development for the US,” he said.
Vinkalwos did not stop for criticizing SEC – he put some views to prevent similar rifts in the future.
He asked for reimbursement measures, arguing that the companies caught in the regulatory fight should be compensated three times if an agency fails to establish a clear rules before starting an investigation.
In addition, he suggested a “dishonest discharge” policy, where SEC officials who see the baseless enforcement works will be publicly removed, listed on the agency’s website with their names and roles.
Vinklevos also proposed an agency ban, where regulators would prevent permanent government positions to “make laws”.
He said, “Like the SEC, people of trading securities, like bars, if they break the law, there should be a process that gives up people like Gary Gainsor, who puts up the law, as well as those who participate in the weaponization, or are hired by an agency anytime,” he said.
Under the former SEC President Gary Gennsler, the agency took an aggressive stance against the crypto industry, leading to more than 100 enforcement action against companies since 2021. His tenure saw cases against major firms, including coinbase, benns, ripple and crackon, which was on allegations of operating unregistered securities platforms.
Jensor’s approach, often criticized as “regulation by enforcement”, leading to a legal battle that shaped the relationship of the industry with regulators.
Since Gensler’s departure in January, SEC has started dialing its crypto litigation back. During February, the agency closed its investigation into Coinbase, Openia, Uniswap Labs and Robinhood Crypto.
