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The ghosts from the past are now staring at Thor Technologies and its principal members after the U.S. Securities and Exchange Commission (SEC) filed a\u00a0complaint<\/a>\u00a0for the sale of unregistered securities.<\/p>\n The SEC\u2019s complaint borders on Thor\u2019s 2018\u00a0initial coin offering<\/a>\u00a0(ICO), which the commission says amounted to the sale of securities. At that time, Thor Technologies realized $2.6 million from over 1,500 investors, a third of them U.S. citizens.<\/p>\n Named in the suit are Thor Technologies co-founders David Chin and Matthew Moravec, who are slammed with three primary infringements of securities law. The first allegation was the failure to register Thor tokens with the Commission, while the second hinged on marketing the\u00a0tokens<\/a>\u00a0as an investment.<\/p>\n \u201cAs the network grows, we expect the value of each token to increase as usage of tokens drives demand given their scarcity in a finite pool of available supply,\u201d read Thor\u2019s whitepaper.<\/p>\n The third violation of securities laws is the failure to register the offer and sale of Thor tokens with the commission. Other ancillary offenses include the absence of proper disclosures on Thor\u2019s financial condition, ability to generate profits, and other necessary factors that would assist investors in deciding whether or not they would invest.<\/p>\n \u201cThor never filed a registration statement with the SEC with respect to any Thor Tokens it offered or sold, and no registration statement has ever been in effect with respect to any offers or sales of Thor Token,\u201d read the filing.<\/p>\n The commission seeks to disgorge Thor and its founders of \u201cunjust enrichment\u201d while praying the court to order the defendants to pay civil monetary penalties. Furthermore, the SEC wants to permanently ban the defendants from participating in the offer and sale of securities in the form of digital assets.<\/p>\n The SEC is doubling down on efforts to regulate the \u2018cryptoverse\u2019<\/strong><\/p>\n The Gary Gensler-led SEC has been\u00a0on a campaign<\/a>\u00a0against erring firms in the digital asset industry as it attempts to sanitize the sector. With multiple cases in court and a streak of settlements under its belt, the SEC shows little to no signs of hitting the breaks.<\/p>\n Recent cases like the\u00a0charge<\/a>\u00a0against Sam Bankman-Fried over his role in defrauding\u00a0FTX<\/a>\u00a0investors and the call for public companies to disclose their exposure to digital assets have been hailed by pundits as a step in the right direction.<\/p>\n \u201cCompanies may have disclosure obligations under the federal securities laws related to the direct or indirect impact that these events and collateral events have had or may have on their business,\u201d said the Commission.<\/p>\n Watch: The BSV Global Blockchain Convention panel, ESG Compliance & Blockchain<\/p>\n