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Fintech
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June 06, 2025
Synapse Trustee Says No Funds Remain To Trace Client Cash
The court-appointed trustee overseeing the Chapter 11 of fintech middleware firm Synapse Financial Technologies Inc. is asking a California bankruptcy judge to convert the case to a Chapter 7 liquidation, despite some customer funds remaining unaccounted for.
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June 06, 2025
Feds Seek 15 Months For Russian Crypto Market Manipulator
A Russian national who pled guilty to manipulating crypto markets through his market-making service says the time he has already served is sufficient punishment, but the government is seeking 15 months in addition to his company's $23 million forfeiture.
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June 06, 2025
Crypto Groups Want Protections For Developers In House Bill
A coalition of crypto industry groups urged lawmakers and courts to shield developers from certain legal liabilities if their creations do not take hold of customer funds, including by enshrining protections in a proposal to regulate crypto markets that lawmakers continue to debate.
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June 06, 2025
Yotta Renews Post-Middleware Failure Claims Against Evolve
Yotta Technologies Inc., a fintech company caught in the implosion of now-bankrupt middleware company Synapse Financial Technologies Inc., has renewed claims it tossed earlier against its former partner Evolve Bank & Trust, accusing the bank of "running a Ponzi scheme" in connection with its alleged loss of millions of dollars in customer funds.
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June 06, 2025
DOJ Says More IT Workers Laundered Crypto For North Korea
The U.S. Department of Justice filed a civil complaint alleging information technology workers from North Korea evaded U.S. sanctions and accumulated millions in cryptocurrency for the benefit of the North Korean government.
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June 06, 2025
Gemini Confidentially Files For IPO Amid Crypto Listings Buzz
Crypto exchange Gemini Space Station Inc. said Friday it confidentially filed for an initial public offering, marking a first step toward going public amid growing enthusiasm for crypto-related listings following stablecoin issuer Circle Internet Group Inc.'s blockbuster IPO.
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June 06, 2025
Strategy Raises Nearly $1B In Preferred Stock To Buy Bitcoin
Michael Saylor's Strategy Inc. said Friday it priced an estimated $1 billion initial public offering of preferred stock to bolster its growing stockpile of bitcoin, in a deal represented by Latham & Watkins LLP and placement agents' counsel Davis Polk & Wardwell LLP.
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June 06, 2025
Payment Co. Faces Claims For 'Shockingly Easy' Data Access
Payment systems company Fiserv Inc. got hit with a data security suit by a credit union that claims its online banking platform is full of security flaws the company has known about for years and that allow "shockingly easy" attacks by cybercriminals.
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June 05, 2025
'Sparse' OPM Record On Mass Firings Backs Win, Unions Say
A "sparse and self-serving" record provided by the U.S. Office of Personnel Management still shows the agency unlawfully directed federal agencies to fire probationary employees en masse, so a California federal court can reach a final decision now and "unwind" those terminations, a coalition including unions and advocacy groups said Thursday.
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June 05, 2025
Crypto.com Says Nevada Can't Sue Over Sports Contracts
The derivatives platform owned by Crypto.com on Thursday urged a Nevada federal judge to block the state's gaming regulators from taking action over its sports event contracts, arguing the federal court has already granted similar relief to trading platform Kalshi.
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June 05, 2025
SEC Seeks To Cut Enforcement Staff To 2010 Levels
The U.S. Securities and Exchange Commission could see its lowest level of enforcement attorneys since the first Obama administration if Congress approves the agency's requested budget, with the proposal indicating that even more workers could leave the SEC in the next fiscal year.Â
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June 05, 2025
Crypto Co. Bitmain Seeks Court OK Of $11.3M Miner Award
The Georgia unit of Chinese cryptocurrency mining business Bitmain Technologies Ltd. has asked a Texas federal judge to enforce an approximately $11.3 million arbitral award in a breach of contract dispute against a company that failed to appear at the arbitration hearing.
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June 05, 2025
Crypto Hedge Fund Co-Founder To Pay $944K In SEC Suit
A co-founder of hedge fund firm BKCoin Management LLC has agreed to pay $944,000 to the U.S. Securities and Exchange Commission to resolve claims that he and the Miami-based investment adviser fraudulently raised $100 million from 55 investors between 2018 and 2022 under the guise of investing in crypto assets.
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June 05, 2025
Bernstein Litowitz Can Hire Ex-SEC Atty Over Musk Objection
A New York federal judge on Thursday gave the all-clear for investor-side firm Bernstein Litowitz Berger & Grossmann LLP to hire the U.S. Securities and Exchange Commission's former litigation chief over the objections of Elon Musk.
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June 05, 2025
Cooley-Led Fintech Biz Weighs Switching Main Listing To US
Payments company Wise PLC said on Thursday it is planning to move its main listing from London to the U.S., becoming the latest British company to shift its main funding focus across the Atlantic.
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June 04, 2025
Ex-CFTC Chair Warns Crypto Bill's Loopholes Still Too Wide
Former leaders of the Commodity Futures Trading Commission on Wednesday told U.S. House lawmakers mulling a bill to regulate cryptocurrency markets that the legislation needs to close potential regulatory loopholes and that Congress must expand the agency's resources if they expect it to police the bulk of the digital asset space.
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June 04, 2025
Bowman Confirmed As Trump's Top Banking Regulator At Fed
Senators on Wednesday confirmed Federal Reserve Gov. Michelle Bowman to become the central bank's next vice chair for supervision, elevating the former Kansas community banker to a powerful perch overseeing many of the biggest Wall Street financial institutions.
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June 04, 2025
SEC Gets $1.1M Win Against Alleged Ga. Crypto Scammer
A Georgia man is on the hook for over $1.1 million in penalties after failing to defend himself from U.S. Securities and Exchange Commission allegations he ran an $800,000 affinity fraud scheme involving a purported cryptocurrency he said was backed by gold and stem cell technology.Â
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June 04, 2025
Davis Polk, Skadden Guide Circle's Upsized $1B IPO
Venture-backed stablecoin issuer Circle Internet Group Inc. on Wednesday priced an upsized $1.05 billion initial public offering above its marketed range amid strong demand, represented by Davis Polk & Wardwell LLP and underwriters counsel Skadden Arps Slate Meagher & Flom LLP.
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June 04, 2025
Lineage Bank Denies Duty In $85M Fintech Collapse Suit
Tennessee-based Lineage Bank on Wednesday asked a Colorado federal judge to dismiss it from a proposed class action related to $85 million in funds that allegedly went missing after the failure of fintech-to-bank middleman company Synapse Financial, arguing the lawsuit doesn't allege Lineage owed a legal duty to the consumers.
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June 04, 2025
ÃÛÌÒÊÓÆµ Resumes $4.2M Redress After Pressure From States
California's Department of Financial Protection and Innovation said Wednesday that the Consumer Financial Protection Bureau is now making good on a $4.2 million redress plan for former students of a shuttered sales-training firm, following agency delays and subsequent pressure from various states.
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June 04, 2025
MoneyLion Says ÃÛÌÒÊÓÆµ Can't Duck Fed Funding Issue
Online lending platform MoneyLion has doubled down on its bid for dismissal of a lawsuit brought by the Consumer Financial Protection Bureau, telling a New York federal judge that new reasoning from the U.S. Supreme Court confirms the agency is improperly funded and that it is not improper to file successive dismissal motions as the ÃÛÌÒÊÓÆµ has contended.
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June 04, 2025
Lawmakers Say Recent Rocket Mortgage Deals Need Scrutiny
A group of lawmakers is calling on antitrust enforcers to scrutinize online mortgage giant Rocket's recent deals for real estate brokerage website Redfin and mortgage company Mr. Cooper over concerns that Rocket is trying to dominate the entire homebuying process.
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June 04, 2025
SEC Says Accountant Errors Don't Doom Crowdfunding Case
The U.S. Securities and Exchange Commission told a Michigan federal judge Wednesday that mistakes in one of its accountant's declarations do not warrant the dismissal of its first crowdfunding enforcement action, arguing the SEC's lawyers acted in good faith when they alerted the court to the errors.
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June 04, 2025
Trump's CFTC Pick Set For Senate Confirmation Hearing
President Donald Trump's nominee to lead the U.S. Commodity Futures Trading Commission has been scheduled to appear before the Senate agriculture committee for a confirmation hearing next Tuesday, advancing his nomination at a time when the agency is facing a leadership void.
Expert Analysis
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Series
Baseball Fantasy Camp Makes Me A Better Lawyer
With six baseball fantasy experiences under my belt, I've learned time and again that I didn't make the wrong career choice, but I've also learned that baseball lessons are life lessons, and I'm a better lawyer for my time at St. Louis Cardinals fantasy camp, says Scott Felder at Wiley.
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Paul Atkins' Past Speeches Offer A Glimpse Into SEC's Future
Following Paul Atkins' Thursday Senate confirmation hearing, a look at his public remarks while serving as a commissioner at the U.S. Securities and Exchange Commission between 2002 and 2008 reveals eight possible structural and procedural changes the SEC may see once he likely takes over as chair, say attorneys at Covington.
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Series
Adapting To Private Practice: From Fed. Prosecutor To BigLaw
Making the jump from government to private practice is no small feat, but, based on my experience transitioning to a business-driven environment after 15 years as an assistant U.S. attorney, it can be incredibly rewarding and help you become a more versatile lawyer, says Michael Beckwith at Dickinson Wright.
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Service By Token Is Transforming Crypto Litigation Landscape
As the Trump administration advocates a new course of cryptocurrency regulation, courts in the U.S. and abroad are authorizing innovative methods of process service, including via nonfungible tokens and blockchain messaging, offering practical solutions for litigators grappling with the anonymity of cyber defendants, says Jose Ceide at Salazar Law.
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Opinion
SEC Shouldn't Complicate Broker-Dealers' AML Compliance
Recent U.S. Securities and Exchange Commission anti-money laundering enforcement actions show that regulators should not second-guess broker-dealers' reasonable judgment, or stretch the law or their jurisdiction to regulate through enforcement, lest they expect broker-dealers to vigorously defend their AML programs, say attorneys at WilmerHale.
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Executive Orders Paving Way For New Era Of Crypto Banking
Recent executive orders have already significantly affected the day-to-day operations of financial institutions that have an interest in engaging with digital assets, and creating informed strategies now can support institutions as the crypto gates continue to open to the banking industry, say attorneys at Spencer Fane.
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Explaining ÃÛÌÒÊÓÆµ's Legal Duties Under The Dodd-Frank Act
While only Congress can actually eradicate the Consumer Financial Protection Bureau, the Trump administration has sought to significantly alter the agency's operations, so it's an apt time to review the minimum baseline of activities that Congress requires of the ÃÛÌÒÊÓÆµ in Title X of the Dodd-Frank Act, say attorneys at Bradley Arant.
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State Securities Enforcers May Fill A Federal Enforcement Gap
The U.S. Securities and Exchange Commission appears poised to take a lighter touch under the new administration, but state enforcement efforts are likely to continue unabated, and potentially even increase, particularly with regard to digital assets and ESG disclosures, say attorneys at Ropes & Gray.
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Firms Still Have Lateral Market Advantage, But Risks Persist
Partner and associate mobility data from the fourth quarter of 2024 shows that we’re in a new, stable era of lateral hiring where firms have the edge, but leaders should proceed cautiously, looking beyond expected revenue and compensation analyses for potential risks, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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Recent Cases Highlight Latest AI-Related Civil Litigation Risks
Ongoing lawsuits in federal district courts reveal potential risks that companies using artificial intelligence may face from civil litigants, including health insurance coverage cases involving contractual and equitable claims, and myriad cases concerning securities disclosure claims, say attorneys at Katten.
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What Rodney Hood's OCC Stint Could Mean For Banking
Acting Comptroller of the Currency Rodney Hood's time at the helm of the OCC, while temporary, is likely to feature clarity for financial institutions navigating regulations, the development of fintech innovation, and clearer expectations for counsel advising on related matters, say attorneys at Vedder Price.
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Opinion
We Must Allow Judges To Use Their Independent Judgment
As two recent cases show, the ability of judges to access their independent judgment crucially enables courts to exercise the discretion needed to reach the right outcome based on the unique facts within the law, says John Siffert at Lankler Siffert & Wohl.
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4 Actions For Cos. As SEC Rebrands Cyber Enforcement Units
As the U.S. Securities and Exchange Commission signals its changing enforcement priorities by retooling a Biden-era crypto-asset and cybersecurity enforcement unit into a task force against artificial-intelligence-powered hacks and online investing fraud, financial institutions and technology companies should adapt by considering four key points, say attorneys at Troutman.
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4 Key Payments Trends For White Collar Attys
As the payments landscape continues to innovate and the new administration looks to expand the role of digital currency in the American economy, white collar practitioners should be aware of several key issues in this space, say attorneys at Jenner & Block.
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Series
Performing Stand-Up Comedy Makes Me A Better Lawyer
Whether I’m delivering a punchline on stage or a closing argument in court, balancing stand-up comedy performances and my legal career has demonstrated that the keys to success in both endeavors include reading the room, landing the right timing and making an impact, says attorney Rebecca Palmer.