New Hampshire Issuer of Crypto Asset Securities That Violated Registration Requirements Enjoined and Ordered to Pay Penalty

On July 11, 2023, Judge Peter Barbadoro of the United States District Court for the District of New Hampshire ordered LBRY, Inc., a New Hampshire software company that issued crypto asset securities called “LBRY Credits” or “LBC,” to pay a civil penalty of $111,614. The Court also permanently enjoined LBRY from further violations of the registration provisions of the federal securities laws and from participating in unregistered offerings of crypto asset securities in the future.

The SEC’s complaint alleged that, from at least July 2016 to February 2021, LBRY, which provides a video sharing application, sold crypto asset securities called “LBRY Credits” to numerous investors, including investors based in the United States. LBRY’s failure to file a registration statement denied prospective investors the information required for such an offering to the public….

Source: New Hampshire Issuer of Crypto Asset Securities That Violated Registration Requirements Enjoined and Ordered to Pay Penalty