Company: FUFU
Filing Date: 2025-04-21
Form Type: 20-F
Source: 0001213900-25-033733
Chunk: 57

Company: Bitfufu Inc.
Filing Date: 2025-04-21
Form: 20-F
Item: Item 3
Chunk 57
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 Platforms for Trading
Digital Assets,” and reiterated that, if a platform “offers trading of digital assets that are securities” and “operates
as ‘exchange,’ as defined by the federal securities laws,” the platform must register with the SEC as a national securities
exchange or be exempt from registration. The SEC’s statement serves as a notice to operators of any platforms, including secondary
market trading platforms, which the SEC is actively monitoring for potentially fraudulent or manipulative behavior in the market for security
tokens, as the SEC has cautioned in the context of ICOs. On November 16, 2018, the SEC released a “ Statement on Digital Asset
Securities Issuance and Trading,” and emphasized that market participants must adhere to the SEC’s well- established and well-functioning federal
securities law framework when dealing with technological innovations, regardless of whether the securities are issued in certificated
form or using new technologies, such as blockchain. This has all been followed by additional statements and guidance form the SEC including
no-action letters relating to specific blockchain-based projects, and a Framework for “ Investment Contract” Analysis
of Digital Assets published by the Division of Corporation Finance on April 3, 2019. In an August 2021 interview, SEC Chairman
Gensler signaled the SEC is contemplating a robust regulatory regime for digital assets and reiterated the SEC’s position that many
digital assets are unregulated securities.

The SEC has been active in
asserting its jurisdiction over ICOs and digital assets and in bringing enforcement cases. The SEC has directed enforcement activity toward
digital assets, and more specifically, ICOs. In September 2017, the SEC created a new division known as the “ Cyber Unit”
to address, among other things, violations involving distributed ledger technology and ICOs, and filed a civil complaint in the Eastern
District of New York charging a businessman and two companies with defrauding investors in a pair of so-called ICOs purportedly
backed by investments in real estate and diamonds (see Securities and Exchange Commission v. Recoin Group Foundation, LLC, et al., Civil
Action NO. 17-cv- 05725 (E. D. N. Y., filed Sept. 29, 2017)). Subsequently, the SEC has filed several orders instituting cease-and-desist proceedings
against (i) Carrier EQ, Inc., d/b/a AirFox and Paragon Coin, Inc. in connection with their unregistered offerings of tokens (see
CarrierEQ,