NFT- A Security or Not? SEC Knocks the Door of Yuga Labs to Find Out the Same
Join Our Telegram channel to stay up to date on breaking news coverage NFTs, after shooting to fame in the latter half of the past decade, are being scrutinized by regulatory institutions (especially the SEC) as they have become a significant investment option. The Bored Ape Yacht Club (BAYC) NFT collection founder, Yuga Labs, has been the latest addition to the list as it is being investigated by the United States Securities and Exchange Commission, the apex body in the country to investigate matters relating to stocks and other securities. What has Happened? The Securities and Exchange Commission, under Chair Grey Gensler, has started investigating Yuga Labs, the company behind the biggest NFT collection, i.e., the Bored Ape Yacht Club (BAYC). The reason behind the same is to find out whether the BAYC NFTs fall under the category of securities as per SEC. If it is found to be the case, then the company would be held liable for violating federal laws by selling assets and to...