Sia Reaches $225K SEC Settlement Over $120K Unregistered Token Sale
Boston-based Nebulous, makers of the Sia network for decentralized data storage, has settled with the U.S. Securities and Exchange Commission (SEC) over an unregistered securities offering and conversion scheme.
In a blog post Tuesday, the company announced the settlement without admitting fault. It will pay disgorgement of $120,000, prejudgment interest of $24,602 and a civil money penalty of $80,000. At the time of the 2014 token sale, Nebulous raised approximately $120,000.The Sia settlement comes just a day after the announcement of Block.One’s $24 million settlement with the SEC for the EOS maker’s $4.1 billion securities sale.
As part of the Nebulous settlement, the company will not be required to register the Siacoin utility token as a security. Siacoins are used in the Sia ecosystem to buy and sell cloud storage space and pay revenues to Siafund investors.