First case of DEP》SEC 'sues Helium for fraud' issuance unregistered Crypto Assets securities MOBILE, HNT, IOT big dump

Gary Gensler, Chairman of the controversial US Securities and Exchange Commission (SEC) in the coin circle, resigned today, but before stepping down, the SEC announced last weekend that it filed a lawsuit against Nova Labs, the company behind the DePIN project Helium, accusing the company of issuing unregistered 'Cryptocurrency securities' and fraud. (Background: What is the DePIN project Helium Mobile? 20 Megabytes of 5G Unlimited Data, Token's two-week big pump of 2,400%) (Background: Can Helium Mobile create a new era of decentralized communication?) The US Securities and Exchange Commission (SEC) announced on the 17th that it has filed a lawsuit against Nova Labs, the company behind the Helium Network, a decentralized wireless network protocol, accusing the company of issuing unregistered 'Cryptocurrency securities' and making false and misleading statements to potential investors about collaborations between well-known companies such as Lime, Nestlé, and Salesforce. The SEC claims that three Helium-related tokens, Helium Network Token (HNT), Helium Mobile Token (MOBILE), and Helium IoT Network Token (IOT), were sold as 'unregistered Cryptocurrency securities'. The SEC stated in its statement that from April 2019 to the present, Nova Labs has conducted unregistered securities offerings and sales when providing and selling electronic devices called 'Hotspots' (used to mine Nova Labs' encryption assets) and 'Discovery Mapping' (a plan that allows mining of Nova Labs' encryption assets). The lawsuit also alleges that Nova Labs falsely misled investors in its partnership with Lime, Nestlé, and Salesforce, telling investors that these companies are using their wireless network, but in fact, these companies are not their customers and are not using their wireless network. After the SECC lawsuit Unfavourable Information was released, the price of MOBILE coin surged to $0.001 on the 18th, but fell to a minimum of $0.0007 today, with a maximum fall of 30% during this period; HNT also experienced a fall of over 20%, temporarily reporting $4.36; IOT also plummeted by more than 32% during this period, currently reporting $0.00064. Source: CoinGecko Gary Gensler's final move before stepping down. This lawsuit aims to impose fines on the company and prohibit it from purchasing, offering, or selling any encryption assets offered as securities, and also symbolizes the latest and final enforcement action launched by SEC Chairman Gary Gensler against blockchain and Cryptocurrency projects. Gensler announced last month that he would resign and step down before Trump's inauguration on January 20. Helium founder Amir Haleem strongly countered on Monday: this lawsuit is the SEC's 'last gasp' against failed US Cryptocurrency companies, and there is no basis for his statement. Regarding the accusation that Helium misled investors in its partnerships, Haleem said: 'We have already addressed this issue in the past and have collaborated with every company mentioned in the complaint. Apparently, the written evidence from these companies did not convince Gensler and his thugs.' We will actively defend ourselves and continue the painful losses and blatant lies of the SEC under Gensler's leadership. This is not only for us, but also for all DePIN projects. If Helium hotspots are securities, then all DePIN projects are at risk. We will not allow this to happen, and we will stand up and fight. The DePIN Decentralization reward token is considered a security by the SEC. It is worth noting that Helium, a well-established public chain created in 2013, attracted attention in the market with the launch of the Decentralization 5G mobile network Helium Mobile project in 2023, and became a leading project in the DePIN (Decentralization Physical Infrastructure Network) track overnight. Helium Mobile provides cellular connectivity through the Decentralization Helium network and has the support of T-Mobile's extensive 5G infrastructure. It allows users to expand the coverage of the Helium wireless network by deploying devices as verification nodes, and users can earn ecosystem tokens such as MOBILE as Decentralization rewards by participating in these network construction activities. The Helium Mobile 5G mobile network unlimited data and telecommunications service plan for $20 per month, with its low price advantage and Decentralization token rewards, has successfully gained popularity in the United States. The SEC's lawsuit against Helium also means that this part of the Decentralization token rewards of the DePIN project has attracted the attention of some telecommunications operators and US government agencies, which can be regarded as the first time the DePIN project has been sued by relevant agencies, which demonstrates the influence of Helium. In addition, how this way of providing free WiFi and giving out coins is defined as encryption securities by the SEC is expected to become a focus of controversy and defense in court. SEC under Trump or withdraw the lawsuit. However, according to Reuters, with the inauguration of the Trump administration and the new leadership of the SEC on January 20, the institution may immediately review existing Cryptocurrency enforcement cases and consider withdrawing some cases, including lawsuits that only violate securities laws without fraud charges. Related reports: Gary Gensler's farewell post: It was an honor to serve as SEC Chairman, any apologies to Cryptocurrency? Reuters: Cryptocurrency regulation under the Trump administration is different! The new SEC will undergo major reforms. SEC Chairman Gary Gensler: '7 billion people around the world want to trade BTC', responding to 11 key Cryptocurrency questions. Forbes' scoop on Helium's insider information: exaggerated propaganda, difficulty in generating revenue, and executives profiting. (DePIN's first case) SEC 'sues Helium for fraud': unregistered Cryptocurrency securities MOBILE, HNT, IOT big dump. This article was originally published on CoinTempo, the most influential BlockTempo news media outlet in the dynamic area.