10/11/2022
SEC investigates BAYC creators, Yuga Labs, over the sale of unregistered tokens.
The creators of the Bored Ape Yacht Club collection, Yuga labs, are facing SEC problems. The company has been accused of reportedly violating federal law by selling unregistered digital assets.
The U.S. Security and Exchange Commission is currently examining the case. The SEC is yet not sure if certain non-fungible tokens are comparable to stocks and thus should follow the same rules of disclosure. Basically, it all comes down to whether SEC decides that tokens offered by Yuga Labs are securities. According to Bloomberg, the regulator might have been investigating the NFT market and whether certain NFTs are securities since March this year.