The NFT project CyberKongz received a Wells notice from the SEC

ChainCatcher news, the NFT project CyberKongz posted on platform X that it has received a Wells Notice from the U.S. Securities and Exchange Commission (SEC). This is a form of communication issued by SEC staff to inform companies that the agency's staff may recommend enforcement action against them.

The team stated: "Since we first received contact from the SEC, we have been silently enduring for the past two years. Throughout this process, they have shown a complete lack of understanding of blockchain technology, leading to unfair accusations and inaccurate information. CyberKongz is a project rooted in the gaming sector, and the SEC's enforcement division has made very concerning statements to us, suggesting that if the token (ERC-20) is not registered as a security, it cannot be combined with blockchain gaming. Such statements will have a significant impact on the entire Web3 gaming industry, and we will oppose this position in a broader context."