hold or not - Hex Founder Richard Heart's Lawsuit Gets SEC Response

BTC $60517.858 0.44%

ETH $2624.806 1.20%

BNB $566.849 -0.36%

XRP $0.599 0.13%

BTC ETH BNB ADA SOL AVAX DOGE LINK TRX

USD EUR GBP JPY AUD CAD CHF CNY

Convert

LIVE UPDATES • Hex Founder Richard Heart’s Lawsuit Gets SEC Response • Tether CEO Paolo Ardoino: Own Blockchain Is Now Not the Right Move! • El Salvador Cold Wallet Surges with 5,850 BTC! • Binance Changpeng Zhao Will Be Released From Prison On September 29 • BTC Whale Dumps $18M – 300 BTC Gone in 30 Minutes! • MegaETH Review: Layer 2 Invested by Vitalik Buterin • Pencils Protocol Review: Hub of the DeFi Ecosystem on Scroll • Lista DAO Review: Liquid Staking Protocol on BNB Chain • Magic Eden Mobile App Expands to Token Swaps with Exciting Update! • New MakerDAO Tokens Were Introduced, DAI and MKR will Remain Available

News Hex Founder Richard Heart’s Lawsuit Gets SEC Response 1 min - Around 2 mins mins to read

Key Points:

The SEC has rejected Hex founder Richard Heart’s attempt to dismiss the lawsuit.

Heart is accused of misusing $8.9 million in investor funds for luxury purchases and manipulating the Hex staking product.

The U.S. Securities and Exchange Commission is pushing back against efforts to dismiss the lawsuit by Hex founder Richard Heart.

Read more: SEC Sues HEX Founder Richard Heart For $1 Billion Securities Fraud

SEC Claims Jurisdiction in Hex Founder Richard Heart’s Lawsuit

In an updated court filing published Thursday, the SEC claimed it has jurisdiction to pursue the case against Hex founder Richard Heart. It asked the U.S. District Court for the Eastern District of New York to deny Heart’s motion to dismiss.

The SEC filed the lawsuit in 2023, claiming Heart—also founder of PulseChain—conducted more than $1 billion in unregistered securities offerings. According to the complaint, he used about $8.9 million of the investors’ money to buy such lavish articles as Ferraris, designer clothes, and a $4.3 million black diamond called Enigma.

The SEC also alleges that Heart marketed Hex as a staking product promising investors a return of 38%, and most of the demand for Hex was manipulated with as high as 97% of the Ethereum used being recycled back into crypto exchanges.

Heart’s Defense Team Brushes off Fraud, Misuse Allegations

Heart’s legal team has rejected the SEC’s claims, saying that Hex, PulseChain, and Pulse X are decentralized blockchain technologies like Bitcoin and should be treated as decentralized; indeed, the SEC did not treat Bitcoin as a security.

They said Hex founder Richard Heart, who lives overseas, never defrauded his investors because he has never promised to pay them back. The case is now set for a hearing on Oct. 24. Richard Heart also responded recently to SEC’s opposition.

In parallel developments, the Ninth Circuit Court of Appeals has reportedly partially overturned the dismissal of a class action against Binance.US over the alleged manipulation of the HEX cryptocurrency price. It remains to be seen how these legal battles will end as Heart’s opposition to the SEC’s claims unfolds.

Binance.US HEX PulseChain Richard Heart SEC

Author Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.

Related Posts

Nigerian Crypto Transactions Get a Big Boost With Government Backing Magic Eden Mobile App Expands to Token Swaps with Exciting Update! Tether CEO Paolo Ardoino: Own Blockchain Is Now Not the Right Move! Bitcoin Price Crashes By 22% Amid Market Turmoil and Seized Assets Japan’s Metaplanet Bitcoin Purchase Surges to 303 BTC with $3.3M Buy Wharton Professor Urges Emergency 0.75% FED Rate Cut Now! BNB Chain Gas Grants Program Launched with Total Rewards of Over $1 Million ETH Gas Fees Drop Below 2 Gwei, Inflation Rate Rises to 0.5% Annually!

News

Hex Founder Richard Heart’s Lawsuit Gets SEC Response