Pump.fun was accused of violating the US Securities Law by collective lawsuits

Author: Cheyenne Ligon, Coindesk; Compilation: Deng Tong, Golden Finance

summary

• Pump.fun encountered a collective lawsuit again, accusing the company of violations of the securities law.

• The lawsuit states that all tokens created using the Pump.fun platform are securities.

• The law firm that filed the lawsuit also filed two other collective lawsuits to Pump.fun -buyers who represent PNUT together, and another buyer on behalf of Hawk.

On Thursday, the Memecoin generator Pump.fun encountered a collective lawsuit again. The lawsuit accused the company and its executives violated the US Securities Law and charged a fee of nearly $ 500 million.

The lawsuit was mentioned in the southern district of New York (SDNY), and it was securities around the largest suspended issue in the crypto industry -token? Although the lawsuit claims that each token created by the Pump.fun platform is securities, it is bound to be subject to the US Securities Law, which is far from the established legal issues. Under the leadership of the new Donald Trump administration, the US Securities and Exchange Commission (SEC) stated that it is changing the encryption regulatory strategy and set up a new encryption working group to establish a clear regulatory framework for the industry.

Diego AGUILAR, chief of the lawsuit on Thursday, claimed that he lost money when he traded the three Memecoin (FWOG, Fred, and Griffain) created by Pump.fun. Although pump.fun itself does not create any token involved in the lawsuit, the lawsuit is accused of "planning this plan by providing automated tools, so that anyone can create and sell almost no value in a few minutes. Digital tokens, so they are eligible to become the "joint issuer" of all tokens launched on their platform.

AGUILAR's lawsuit mentioned a British registered company called Baton Corporation, which claims that the company is the operator of Pump.fun, and the company's three co -founder Alon Cohen, chief technician Dylan, chief technician Dylan Kerler and CEO Noah Tweedale.

The law firm who filed a lawsuit was the Wolf Popper LLP in New York. Two weeks ago, he filed another collective lawsuit to Pump.fun. The lawsuit was filed on January 16th, and the chief plaintiff was different, but also accused Baton Corporation and its three co -founders sold unregistered securities -PNUT tokens. This is a kind of Memecoin based on Solana, inspired by Peanut The Squirrel The lawsuit claims that its market value has reached $ 1 billion. As of the publication of this article, the PNUT token has fallen by 89%from a high of $ 2.25 last year.

Wolf Popper LLP and Burwick Law Law Firm, which focuses on encrypted lawsuits, also recently filed a collective lawsuit to the initiator of the HAWK token. HAWK token is a Memecoin related to the influential Hailey Welch (also known as Hawk Tuah).

Although pump.fun was launched only a year ago. In March last year, the British financial regulatory agency warned the platform that caused Pump.fun to ban British users from using it. The platform is also attacked for its current disabled live broadcast function, which allows some users to promote their tokens through violence or pornographic content.