TechFlow News, according to sources cited by The Wall Street Journal, Paxos, the issuer of the stablecoin BUSD, is facing a lawsuit from the U.S. Securities and Exchange Commission (SEC) over issues related to BUSD.
The SEC has notified Paxos via letter of potential enforcement action, stating that BUSD issued and listed by Paxos constitutes an unregistered security. The SEC plans to sue Paxos for violations of investor protection laws and may take enforcement measures.
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