Adam Aderton’s Post

https://lnkd.in/euxAvSig. "The Securities and Exchange Commission today announced that it filed 583 total enforcement actions in fiscal year 2024 while obtaining orders for $8.2 billion in financial remedies, the highest amount in SEC history."! #sec #banking #regulatorysupervision #enforcement #regulatoryfines #brokerdealer #controlassessment #recordkeeping #fraud #cryptomarkets #crypto #cybersecurity #fintech #regtech #technologyrisk #financialmarkets

This is must read SEC case for those managing digital assets, there are so many regulatory issues specially in the custody of these assets. 

On Tuesday, the SEC brought forth charges against an RIA and its president for failure to disclose loss of control over client crypto assets and multiple breaches of RIA regulatory requirements, resulting in a hefty $425,000 price tag in civil penalties. This recent enforcement action not only underscores the difficulties of digital asset compliance, but most importantly, that the SEC cares about what firms and its employees are doing within the crypto space. Indeed, as the digital asset landscape evolves, so too does regulatory oversight. The SEC is actively policing the intersection of crypto and RIA operations, and it expects RIAs to proactively align their compliance programs within both traditional RIA frameworks and the emerging digital asset space. The alternative, as this case demonstrates, can be costly. Read the Litigation Release here: https://lnkd.in/es6eUV5K #RIACompliance #CryptoRegulation #SECEnforcement

House votes to overturn SEC guidance on crypto custody (via Axios): https://ow.ly/KpI550RQ9tH #sec #financialcompliance #financialcompliancenews #compliance #axios

I love it how Sam said: ‘I never thought what I was doing was illegal’ https://lnkd.in/d9tw35q9 That's exactly why you need professionals near you. To advise you how to avoid penalties. Or worse. Jail. Saying "I didn't know it was illegal" just doesn’t fly, especially when we're talking about money matters. Let’s face it: the financial world can be a maze of complex deals and ever-changing rules. But here’s the thing – around the globe, the expectation is crystal clear: you've got to know the rules of the game if you're going to play, especially in finance. Imagine the chaos if everyone could just shrug off mistakes by claiming ignorance. Financial decisions ripple through economies, affecting not just markets but real people’s lives. That's why there’s a massive responsibility on anyone handling financial activities. You need to know what’s allowed and what’s not. The finance world doesn’t stand still – new products and technologies are always on the horizon, shaking up the status quo. This means staying sharp, keeping up with the latest updates, and understanding that “I didn’t know” isn’t an excuse that holds water. It’s about maintaining trust and ensuring the system works smoothly for everyone involved. So, when someone plays the ignorance card, it’s not just a simple oversight; it's a major no-no. It’s a reminder to all of us that keeping up with financial laws isn't just wise – it's essential. It’s about protecting yourself, sure, but it’s also about contributing to a financial system that’s fair, transparent, and trustworthy. After all, in the vast and complex world of finance, knowing the rules isn’t just part of the game – it is the game.

Did you know? The SEC has ordered a record-breaking $8.2 billion in financial remedies, with over half of that amount coming from a single crypto assets-related securities fraud case. Find out more about the SEC’s FY 2024 enforcement activity in this Regulatory Alert from the KPMG Regulatory Insights team. https://bit.ly/4i0wQNz

Did you know? The SEC has ordered a record-breaking $8.2 billion in financial remedies, with over half of that amount coming from a single crypto assets-related securities fraud case. Find out more about the SEC’s FY 2024 enforcement activity in this Regulatory Alert from the KPMG Regulatory Insights team. https://bit.ly/498eBS5

Did you know? The SEC has ordered a record-breaking $8.2 billion in financial remedies, with over half of that amount coming from a single crypto assets-related securities fraud case. Find out more about the SEC’s FY 2024 enforcement activity in this Regulatory Alert from the KPMG Regulatory Insights team. https://bit.ly/3ZqbCBt

Did you know? The SEC has ordered a record-breaking $8.2 billion in financial remedies, with over half of that amount coming from a single crypto assets-related securities fraud case. Find out more about the SEC’s FY 2024 enforcement activity in this Regulatory Alert from the KPMG Regulatory Insights team. https://bit.ly/3VeWLqK

WSJ: "The Securities and Exchange Commission said it collected $8.2 billion in monetary penalties for the fiscal year 2024, the highest amount for the fines in the regulator’s history. The record amount imposed in financial penalties—two-thirds more than the $4.9 billion collected in fiscal year 2023—caps the tenure of agency Chair Gary Gensler, who said he plans to step down in January once President-elect Donald Trump takes office. Just over half of the 2024 total came from a monetary judgment following the SEC’s jury trial win against cryptocurrency company Terraform Labs and its former Chief Executive Do Kwon, after being charged with one of the largest securities frauds in U.S. history.  As the agency’s head, Gensler took a tough stance toward crypto companies. The burgeoning industry has largely celebrated his expected departure from the agency once Trump takes office. The record penalty collection comes despite a decline in the number of cases by the SEC. The regulator took 583 enforcement actions during the year, a 26% decline from the previous year. The SEC also barred 124 individuals from serving as officers and directors of public companies, the second-highest number in a decade. The agency focused on record-keeping violations stemming from off-channel communications, bringing cases that netted more than $600 million in civil penalties against roughly 70 firms.  Another significant financial penalty came from a settlement with Morgan Stanley, which paid $249 million to resolve SEC charges involving the disclosure of confidential information about the sale of large quantities of stock."