Circle Internet Financial, operator of the second largest stablecoin USDC, revealed that it received a subpoena from the SEC in July
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- The department was recalled by the SEC in July 2021
- USDC offer adds 800% YTD
Yesterday, on October 4, 2021, Circle Internet Financial filed Form S-4 with the US Securities and Exchange Commission. This deposit was filed under the Circle’s planned merger.
The department was recalled by the SEC in July 2021
According to a filing text published by the US watchdog SEC, Circle revealed that it had been recalled three months ago. The subpoena was issued by the Securities and Exchange Commission’s enforcement division.
NEW: Circle Internet Financial, backer of stable USDC, says it has been summoned by the SEC https://t.co/V9ck5FDQzC via markets
– Bloomberg Crypto (@crypto) October 5, 2021
As reported by Bloomberg Crypto, Circle has revealed this fact, and is preparing to go public by merging with special purpose acquisition firm Concord Acquisition Corp.
The department acknowledged that the SEC requested information about its products and holdings operations:
Additionally, in July 2021, we received a subpoena for investigation from the SEC Law Enforcement Division requesting documentation and information relating to certain of our holdings, customer software, and operations.
Department representatives then confirmed that the team was “fully cooperating” with the SEC investigation.
USDC offer adds 800% YTD
As previously covered by U.Today, on August 9, 2021, Circle decided to pay a civil penalty of $10.4 million, voiding its advance judgment entitlement to settle the case against its wholly owned subsidiary, Poloniex.
Pursuant to Section 5 of the Exchange Act, Poloniex has been accused of offering US citizens unregistered securities as digital assets.
Circle’s flagship product, the dollar-pegged stablecoin (USDC), has received a lot of attention this year. It is the fastest growing major stablecoin with its market capitalization increasing from $3.9 billion to over $32 billion in 2021.