Victory for Richard Heart over SEC's Abandoned Fraud Lawsuit
SEC Portal Abandons Accusations of Fraud Against Founder of Hex, Richard Heart
Richard Heart, the crypto maverick behind HEX, PulseChain, and PulseX, triumphs over the U.S. Securities and Exchange Commission (SEC) as they abandon their securities fraud lawsuit.
Initially, Heart was accused of selling unregistered securities and misleading investors. However, a federal judge dismissed the case in February, concluding the SEC failed to prove Heart's statements specifically targeted American consumers. The SEC had until April 21 to file an amended complaint, but they opted to abandon the case entirely.
In a defiant tweet, Heart declared, "Crypto won across the board. The SEC walked away from some other cryptocurrency cases voluntarily, but this is the only case where the SEC lost and crypto prevailed in court on every single claim they brought." He further considered it "a victory for open-source software, cryptocurrency, and free speech."
SEC's Shift in Tactics
The SEC, in recent months, has discontinued numerous investigations against crypto companies, reflecting the favorable stance towards the industry under former President Donald Trump. This week, Paul Atkins was sworn in as the new SEC chairman. Previously, an advisor to several digital asset firms, Atkins has vowed a less stringent approach compared to his predecessor, Gary Gensler.
In the now-abandoned lawsuit, the SEC had accused Heart of hyping HEX as "built to be the highest appreciating asset that has ever existed in the history of man" and using millions of investor dollars for lavish expenditures.
Interpol's Red Notice and Ongoing Legal Issues
Despite his legal victory over the SEC, Heart remains the subject of an Interpol red notice and is on Europe's list of most wanted fugitives. Allegations of tax fraud and physically assaulting a teenager continue to swirl, highlighting ongoing legal challenges faced by Heart outside U.S. jurisdiction.
According to CoinGecko, HEX has surged by 12.7% over the past 24 hours, with gains of 49% since the same time last week.
- With the SEC's withdrawal from the securities fraud lawsuit against him, Richard Heart claimed victory for the crypto sector, considering it a triumph for open-source software, cryptocurrency, and free speech.
- The SEC, in recent times, has discontinued numerous investigations against crypto companies, indicating a positive shift towards the industry under former President Donald Trump.
- The discontinuation of these investigations and the appointment of Paul Atkins as the new SEC chairman suggest a less stringent approach compared to his predecessor, Gary Gensler.
- In the abandoned lawsuit, the SEC had accused Richard Heart of making inflated claims about HEX and using investors' funds for luxury spending.
- Despite his legal victory over the SEC, Richard Heart continues to be the subject of an Interpol red notice and is on Europe's list of most wanted fugitives.
- Crypto projects like HEX, which Heart spearheads, have seen significant growth post the lawsuit dismissal, with HEX surging by 12.7% over the past 24 hours and gains of 49% since the same time last week.
