Regulation
Solana Memecoin Hub Pump Fun Faces UK Ban for Regulatory Noncompliance
Solana-based memecoin platform, Pump fun, has barred access to users in the United Kingdom following a warning from the country’s financial regulator.
This decision marks a major development for one of the leading token launchpads, which has been at the center of both explosive growth and intense scrutiny since its launch earlier this year.
UK Users Blocked Amid Regulatory Warning
Pump fun has officially banned UK residents from accessing its services, citing compliance with local regulations. This decision came three days after the UK’s Financial Conduct Authority (FCA) issued a warning stating that the platform “may be providing or promoting financial services or products without our permission.”
The FCA emphasized that Pump fun was operating without the required authorization under UK financial laws. It further advised the public to avoid dealing with the platform and warned of the potential risks of losing funds.
PUMP FUN BANNED IN THE UNITED KINGDOM: WEBSITE pic.twitter.com/qk8YuuNMcQ
— Aggr News (@AggrNews) December 6, 2024
Pump fun responded swiftly by updating its website and terms of service to block UK users. A notice on the site now states that the United Kingdom is a restricted jurisdiction, and the platform is “unavailable to users in the United Kingdom.”
Pump fun Part of Solana’s Memecoin Boom
Since its debut in early 2024, Pump fun has become a central hub for creating and trading memecoins on the Solana blockchain.
The platform allows users to launch tokens without coding skills and has facilitated the creation of high-profile assets such as PNUT and WIF. These tokens contributed to a wave of meme-driven trading activity that generated $250 million for Pump fun’s founders.
Pump fun accounted for 62% of all decentralized exchange transactions on Solana in November, according to on-chain data from Dune Analytics. However, its rapid rise has been accompanied by mounting legal and ethical challenges, leading to calls for stricter oversight.
Regulatory Concerns and Past Controversies
Solana memecoin hub Pump fun has faced multiple controversies over its content moderation practices and lack of transparency. Earlier this year, the platform came under fire after reports of child exploitation material and violent content appearing during its now-disabled livestreaming feature.
The feature, which allowed token creators to promote their coins in real-time, was removed in response to widespread backlash.
Additionally, questions have been raised about the company’s legal structure and compliance. The FCA warning highlighted the platform’s failure to meet the country’s money laundering regulations, which require cryptocurrency firms operating in the UK to register and secure approval. With only 47 out of 347 applications approved by the FCA as of mid-2024, the agency has taken a firm stance against unregistered platforms.
Pump Fun Uncertain Future for UK-Based Founders
Pump fun’s origins in the UK add further complexity to its regulatory challenges. While the platform’s co-founders operate under pseudonyms, it is registered as Baton Corporation Ltd. in the UK. This means local authorities have jurisdiction over its activities and could impose further legal actions if the company is found to have violated UK laws.
Legal experts have pointed out that the platform’s lack of terms of service, privacy policies, and adequate content moderation could leave it vulnerable to more penalties. Crypto lawyer Preston Byrne noted,
“The fact that the individuals rumored to be the founding team are all UK residents complicates the picture…the UK has greater leverage over them than they would a U.S. team.”
While Pump fun has confirmed that the UK ban is permanent, it remains unclear how this development will affect its operations outside the region. The platform has yet to release an official public statement addressing the FCA’s warning or its next steps.
Kelvin Munene Murithi
Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Ripple has dropped its cross-appeal against the US Securities and Exchange Commission (SEC) following the latter’s decision to drop its case against the crypto firm last week. The firm’s Chief Legal Officer (CLO), Stuart Alderoty, also revealed what will happen with the $125 million penalty the Court awarded against them.
Ripple Drops Cross Appeal Against The US SEC
In an X post, Ripple’s CLO, Stuart Alderoty, revealed that his firm has now agreed to drop its cross-appeal against the US SEC after the Commission decided to drop the appeal without conditions.
This development officially ends the long-running legal battle between the crypto firm and the SEC, as the latter has also agreed to drop the Ripple lawsuit in its entirety.
Alderoty also revealed what will happen to the monetary judgment, which Judge Analisa Torres awarded against the crypto firm. He stated that the Commission will keep $50 million of the $125 million fine, which is already in an interest-bearing escrow in cash, while Ripple will collect the balance of $75 million.
Meanwhile, the US SEC will ask the Court to lift the standard injunction it imposed against the crypto firm at the Commission’s request. This move is subject to the Commission vote, the drafting of final documents, and routine court processes.
Significance Of This Development
Besides ending the Ripple lawsuit, the SEC’s agreement to request that the Court drop the standard injunction against the crypto firm paves the way for a surge in XRP’s adoption since the company can now proceed to carry on its on-demand liquidity (ODL) sales as usual.
Legal experts had predicted that Ripple was holding out on settlement to get the Commission to lower the fine and request the Court to drop the injunction. As such, these developments undoubtedly represent a massive victory for the firm.
CEO Brad Garlinghouse recently discussed the company’s future. He predicted that their US operations would grow in the coming months following the end of the lawsuit and thanks to imminent crypto legislation.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several topics and niches. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover, a traveler and a part-time degen.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Regulation
Brad Garlinghouse Discusses Ripple’s Future, Crypto Legislation & Blockchain Technology As Lawsuit Ends
Ripple CEO Brad Garlinghouse recently discussed what is next for his firm and how crypto legislation could also positively impact the crypto industry’s trajectory and the future of blockchain technology. This comes just days after the US SEC agreed to drop the long-running Ripple lawsuit.
Ripple CEO Brad Garlinghouse Reveals What As SEC Drops Lawsuit
In a FOX Business interview, Brad Garlinghouse discussed what next for his firm following the SEC’s decision to drop the Ripple lawsuit. He noted that about 95% of the company’s customers are overseas, as the lawsuit hindered their US operations.
However, he suggested that will likely change moving forward as they grow their operations in the country. Garlinghouse remarked that they have already been witnessing domestic interest since US President Donald Trump took office. The Ripple CEO revealed they have signed more deals since then than in the six months preceding Trump’s inauguration.
The company is expected to grow further in the US after the SEC agreed to drop the Ripple lawsuit. Brad Garlinghouse predicts that his firm’s innovative technology will play out over the next ten to twenty years in terms of how it integrates and rewires the US financial structure in terms of payments, real estate, and securities transactions.
The Ripple CEO again took time to highlight how Trump’s crypto-related executive orders, especially the creation of the Strategic Bitcoin Reserve and Digital Asset Stockpile, have created a more friendly environment for crypto firms in the US.
He noted that financial institutions are now more open to crypto technology. As CoinGape reported, the OCC has cleared Federal Banks to engage in crypto activities.
On Stablecoin Legislation & Its Impact
Brad Garlinghouse commended the efforts of legislators like Senator Cynthia Lummis and Rep French Hill to provide regulatory clarity. These lawmakers are championing the market structure and stablecoin bills to create a regulatory framework that will guide crypto firms. Senator Lummis also recently reintroduced the Bitcoin Act to codify Trump’s vision of a Strategic Bitcoin Reserve.
The Ripple CEO welcomed the idea of regulatory clarity, stating that it would reassure customers that they can engage with them in good faith. He remarked that these customers would feel more comfortable using their technologies without fear of regulators attacking them. Garlinghouse added that this would also enable more job creation, innovation, and capital formation in the US.
Boluwatife Adeyemi
Boluwatife Adeyemi is a well-experienced crypto news writer and editor who has covered topics that cut across several topics and niches. Boluwatife has a knack for simplifying the most technical concepts and making it easy for crypto newbies to understand. Away from writing, He is an avid basketball lover, a traveler and a part-time degen.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
A change of guard at the US Securities and Exchange Commission (SEC) is powering a shift away from cryptocurrency enforcement. Under new leadership, the US SEC is narrowing its focus on traditional securities cases driven by a handful of factors.
US SEC Turns Its Gaze Away From Crypto Enforcement
According to a Reuters report, the US SEC is bringing down the curtain on its five-year rampage against the cryptocurrency industry. Going forward, the Commission will focus its resources on traditional cases involving corporate and individual securities fraud.
The SEC’s interim Enforcement Director Sam Waldon revealed that the Commission will give priority to individual cases. During the Gary Gensler administration, the SEC directed the bulk of its resources toward crypto enforcement against industry giants.
With Gensler out of the picture and new brass coming on board, the SEC is changing its stance. Paul Atkins is set to face a nomination hearing at Capitol Hill this week, signaling a breath of fresh air for the Commission.
For starters, a string of case dismissals against cryptocurrency companies, particularly the Ripple SEC case, accentuates a change in strategy. Furthermore, declarations that memecoins are not securities and exempting Proof-of-Work mining from securities obligations underscores the point.
Securities Watchdog Does Not Have The Numbers To Sustain Crypto Enforcement
Apart from new leadership, a key factor in the Commission’s changing stance lies in its dwindling staff strength. The SEC is recovering from a gale of exodus following plans by President Donald Trump and Elon Musk to reduce the government’s workforce.
“Creativity is probably not where we want to be,” said Waldon, hinting at a steep drop in employee numbers.
A restructuring of the defunct Crypto Assets and Cyber Unit and the launch of a Crypto Task Force signals a change in direction. The Crypto Task Force is pursuing roundtables with ecosystem players rather than regulation by enforcement that characterized the SEC.
The SEC has to respond to a FOIA request filed by Coinbase seeking clarity over the financial implications of its five-year enforcement over the cryptocurrency industry.
Aliyu Pokima
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Curve Finance Founder Dumps Over 2M CRV Sparking Concerns: What’s Happening?
HBAR Price Under $0.20 Struggles To End 2-Month Downtrend
Can Ripple Resume Institutional Sales?
Cardano (ADA) Next Move—Are Traders Eyeing a Big Push Higher?
Dogecoin Foundation’s Corporate Arm Launches Official DOGE Reserve With Massive Purchase, Here’s What We Know
What It Means for Users
2.52 Million Altcoins Are Ruining Crypto’s Future
Animoca Brands Valuation Tanks 75% In Two Years, Here’s Why
Crypto exchange BingX hacked for $43 million
Are The Big Players Losing Interest?
Hong Kong’s Securities Association Tips Authorities On Crypto Self-Regulation
Coinbase cbBTC Set to go Live on Solana
2.52 Million Altcoins Are Ruining Crypto’s Future
Animoca Brands Valuation Tanks 75% In Two Years, Here’s Why
Crypto exchange BingX hacked for $43 million
Are The Big Players Losing Interest?
Hong Kong’s Securities Association Tips Authorities On Crypto Self-Regulation
Coinbase cbBTC Set to go Live on Solana
-
Altcoin23 hours agoCan Chainlink (LINK) Price Hit $44 Amid This Crucial Partnership?
-
Altcoin18 hours agoCBOE Files 19b-4 For Fidelity’s Solana ETF With US SEC
-
Altcoin24 hours agoWhy Is Pi Coin Price Down 5% Today?
-
Market23 hours agoBitcoin Price Dips After Rally—Is This the Perfect Entry Point?
-
Market22 hours agoOnyxcoin Price Awaits Reversal To End 8-Week Long Downtrend
-
Market21 hours agoPi Network’s Lack of Transparency Behind Listing Delay
-
Market19 hours agoCardano Holders Refuse To Liquidate, Support Price Rise to $0.85
-
Market18 hours agoUptrend Resumes After A Healthy Pullback
✓ Share: