court

According to CoinDesk, the government of Illinois has reached an agreement with the Digital Chamber of Commerce and the Illinois Blockchain Association to postpone the 0.2% cryptocurrency tax, originally set to take effect on January 1, 2027, by 6 months to July 1, but still requires approval from a state circuit court judge.If the postponement is approved, both parties will temporarily suspend their request for an emergency injunction and continue litigation regarding the compliance, enforceability, and constitutionality of the tax law.

According to Crypto in America, former CFTC Chairman Russ Behnam stated at the Georgetown University Financial Markets Quality Conference that as prediction markets experience explosive growth, Congress urgently needs to clarify the boundary between risk management and gambling, and related lawsuits may ultimately be submitted to the U.S. Supreme Court.Behnam also pointed out that after the Clarity Act failed to advance in the Senate, the CFTC's reliance on existing authority to regulate the spot market is akin to "patching things up with tape and paperclips," and regulators urgently need to establish more durable rules.

According to a report by Reuters on September 28, Florida Attorney General James Uthmeier requested a judge on Monday to prohibit OpenAI from developing new artificial intelligence models without external oversight. This request is part of the state's lawsuit accusing OpenAI of harming children. Uthmeier also asked the court to order OpenAI to prohibit minors from using ChatGPT and to prevent the company from attributing human characteristics to the chat platform.Florida sued OpenAI in June, accusing it of misrepresenting the safety of ChatGPT, claiming that the platform provided information to school shooters, offered guidance on self-harm, and made young users addicted. The lawsuit was triggered by a shooting incident at a university in Tallahassee last year, as well as several other incidents in other states where it was alleged that ChatGPT provided information to individuals who later committed acts of violence. Uthmeier, a Republican, is also the first state attorney general to sue OpenAI over its impact on young users, and the company is facing related lawsuits filed by individuals and families.OpenAI spokesperson Drew Pusateri stated that the company has paused training its most powerful models and will not resume until additional safety measures are implemented, expressing a willingness to work with Florida and other states to promote pragmatic policies applicable across the industry. The company denies responsibility in these cases, stating that the chatbot provides information widely available online and continuously updates its safety tools. The request also cited recent comments from a former OpenAI employee and a current board member, stating that the development of artificial intelligence could lead to the end of humanity and must be slowed down.

According to Cointelegraph, the prediction market platform Kalshi won an important ruling from the U.S. Sixth Circuit Court of Appeals, allowing it to continue operating its event contracts in Ohio and Tennessee.The ruling involves a dispute between Kalshi and the relevant state regulatory agencies regarding whether event contracts can continue to be offered. Cointelegraph stated that the court ruled to allow Kalshi's event contracts to continue operating in the aforementioned two states.

Former SEC Acting Chairman Mark Uyeda stated that the agency will withdraw the cryptocurrency case in early 2025 to maintain its credibility in court before a significant policy shift.

According to Decrypt, court documents unsealed in the lawsuit between The New York Times and OpenAI and Microsoft show that Microsoft employees discussed whether OpenAI's use of news articles to train its models constituted "the largest labor theft in human history," and could potentially trigger a "doom loop" that leads to a decline in model quality. A 2023 internal Microsoft memo warned that millions of people worldwide would soon view the large model's "consumption" of their works as "an unprecedented and astonishing theft," and stated that large AI models are "products that destroy their own supply chains."Microsoft stated in the documents that these memos were written by Director of Applied Science Brent Hecht and do not represent the company's views, as his role is to provide "different and asymmetric perspectives." Microsoft CEO Satya Nadella testified that "any content behind a paywall should be authorized by those who wish to use it," and stated that if he had known in advance that OpenAI was using paid content for training, he would have exercised Microsoft's rights to demand that the model be retrained.Additionally, an OpenAI employee had mentioned to President Greg Brockman the construction of "hacker methods" to bypass The New York Times paywall, to which Brockman replied, "Nice." Both OpenAI and Microsoft argue that the relevant training falls under fair use. The case was initiated by The New York Times at the end of 2023, and 11 publishers have since joined the lawsuit.

The French Council of State rejected the urgent application filed by the cryptocurrency companies Bull Bitcoin and Paymium, refusing to immediately suspend the implementation of the French decree enforcing the EU Directive on Administrative Cooperation No. 8 (DAC8).The applicants argued that the centralized collection of personal and financial data from digital asset users could lead to data breaches, extortion, and personal safety risks. The court found that the applicants failed to demonstrate an urgent situation sufficient to support an emergency suspension. The lawsuit seeking to fully revoke the decree by Bull Bitcoin is still under review. DAC8 will take effect in the EU on January 1, 2026, and registered service providers must complete their first declaration for the year 2026 by September 30, 2027.

On September 14, 2026, Judge Arun Subramanian of the United States District Court for the Southern District of New York issued an opinion and order denying the plaintiff's motion for a preliminary injunction. The case number is 1:26-cv-05474-AS, with the plaintiffs being market makers Susquehanna Securities, LLC and Susquehanna Investment Group, and the intervenor being market maker Citadel Securities LLC, while the defendants are John Does 1 through 100. The plaintiffs filed the lawsuit on June 29, 2026, claiming violations under Section 20A of the Securities Exchange Act of 1934 and unjust enrichment claims.The plaintiffs allege that the defendants traded on significant non-public information, specifically an announcement on May 22, 2026, regarding "the Chinese government's crackdown on cross-border trading platforms," which led to a collapse of the relevant securities. The plaintiffs sought a preliminary injunction to restrict the 40 defendants, as reduced, from transferring, encumbering, removing, or otherwise disposing of the profits obtained through the alleged insider trading activities in their accounts at third-party brokerage firms, or sought a seizure order. The court found that the plaintiffs failed to demonstrate the elements necessary to prove that they may suffer irreparable harm, and the motion was denied.

According to CNN, FTX founder SBF filed an appeal to the U.S. Supreme Court on Thursday, seeking a new trial and the reversal of a court order that sentenced him to forfeit $11 billion in assets. SBF was sentenced to 25 years in prison in 2024. Prosecutors stated that he directed the transfer of billions of dollars from the cryptocurrency exchange FTX to his controlled hedge fund Alameda Research, which were then used for high-risk investments, political donations, and personal expenses.The appeal filed to the Supreme Court primarily involves a technical legal issue regarding the submission of evidence during the trial, as well as whether SBF should be allowed to prove that his investments ultimately were profitable and sufficient to compensate for the losses suffered by FTX customers. Additionally, he argued that the forfeiture of $11 billion in assets violates the Eighth Amendment of the U.S. Constitution, which prohibits excessive fines.

According to Hyperliquid News, the Hyperliquid Policy Center has submitted a legal opinion to the federal court in Washington, D.C., seeking to dismiss the lawsuit filed by the Chicago Mercantile Exchange (CME) against the U.S. Commodity Futures Trading Commission (CFTC).The lawsuit involves the CFTC's prior approval of the launch of regulated cryptocurrency perpetual contracts in the U.S. through Kalshi. CME had previously filed a lawsuit regarding the related regulatory decision, while the Hyperliquid Policy Center supports the CFTC's side, arguing that the court should dismiss CME's lawsuit.

According to CoinDesk, the Crypto Innovation Committee (CCI) and the Blockchain Association filed a preliminary injunction motion on Wednesday in the Sangamon County Circuit Court of Illinois, requesting to suspend the enforcement of the state's digital asset transaction tax during the litigation. The tax rate is 0.2% and applies to entities headquartered in Illinois or providing services in the state with total revenue exceeding $100,000, which is set to take effect on January 1, 2027.The two lobbying organizations, along with the Digital Chamber, filed a lawsuit against Illinois last month, claiming that the tax violates the Internet Tax Freedom Act and the U.S. Constitution, and that Illinois's approach to taxing digital assets differs from other financial services.CCI CEO Ji Hun Kim stated that businesses are forced to spend millions of dollars to build compliance systems, yet basic issues such as the tax subjects and timing remain unclear. Blockchain Association CEO Summer Mersinger warned that if the law is enacted, Illinois will not be the last state to attempt this.

According to the Korea Herald, a federal court in Washington, D.C. has ordered the seizure of a wallet asset involved in money laundering by North Korean overseas IT workers, including 158,123 USDC and 54,574 USDT, with a total value of approximately $212,700. The U.S. Department of Justice is seeking to confiscate a total of $7.74 million in North Korea-related cryptocurrency assets.

According to a report from Xinhua News Agency, the Supreme People's Court issued opinions on September 7 regarding the legal handling of disputes involving artificial intelligence. The opinions consist of 5 parts and 24 articles, focusing on issues such as "AI face-swapping and voice imitation," "AI hallucinations" infringement, "online unpacking," "big data price discrimination," autonomous driving, AI model training, open-source software, and intellectual property protection.The opinions clearly address the substantive judgments and litigation procedural rules for cases involving artificial intelligence, aiming to strengthen the judicial protection of civil rights in the digital age and promote the healthy and orderly development of artificial intelligence.

According to the Guangzhou Daily New Flower City report, a man in Guangzhou lent 1 virtual currency to a friend, agreeing to return it two days later. After the other party failed to return it on time, he was sued, with the plaintiff requesting the return of the virtual currency or compensation at market price.The Guangzhou Intermediate People's Court ruled that the relevant virtual currency lending agreement was invalid and did not support the return of the virtual currency or compensation at market price. Virtual currency belongs to online virtual property, and the borrower should still compensate the lender for property losses, ultimately ruling to compensate 199,600 yuan based on the cost price at which the lender purchased the virtual currency.

According to The Block, the U.S. Ninth Circuit Court of Appeals ruled that the prediction market platform Kalshi failed to prove that federal regulations take precedence over Nevada's regulatory authority over sports betting, and Kalshi is not entitled to an injunction.Previously, the Nevada Gaming Control Board had issued a cease and desist order to Kalshi, requiring it to stop conducting contract trading related to elections and sporting events in the state, threatening to initiate criminal or civil proceedings. Subsequently, Kalshi sued the Gaming Control Board and the state, seeking a preliminary injunction to prevent Nevada from regulating its trading of sports and election event contracts. The district court initially granted the injunction but later revoked it following a ruling against Crypto.com. However, the appellate court stated on Friday: "We find that Kalshi has failed to demonstrate that the Commodity Exchange Act (CEA) likely takes precedence over state gaming regulations when applied to its sports event contracts, and we also find that the district court's decision to revoke the injunction did not abuse its discretion." The panel of judges stated: "The en banc court finds that the Commodity Exchange Act likely does not take precedence over Nevada's gaming regulations when applied to Kalshi's sports event contracts."

Jing Tian Studio issued a solemn statement: "Reputation is the life of an artist and also their Achilles' heel. But we have the courage to say no to the extortionate behavior that threatens the reputation of artists. Upholding the principle of believing in the law and following legal procedures, we have no intention of occupying public resources, and we will leave everything to the court to handle. Apart from announcing the progress of our rights protection, we will not respond to other issues."

According to Bitcoin.com News, a court in the UK has shut down the cryptocurrency company Key Coin Assets Ltd., after 9 investors who complained to Action Fraud paid a total of over £300,000.Investigators stated that no evidence of real transactions was found and believed that its operations exhibited characteristics of a Ponzi scheme.

First Digital CEO Vincent Chok tweeted in response to Sun Yuchen's comments about FDUSD in a post related to the WLFI lawsuit, stating that the content is false. Especially since no evidence has been presented in court by Sun Yuchen in the 16 months since the relevant accusations were made.Previously, First Digital filed a defamation lawsuit against Sun Yuchen in Hong Kong in April 2025, and the case is still under review.

WLFI co-founder Zach Witkoff stated that Sun Yuchen's claims about the latest court ruling contain multiple false statements. Sun Yuchen previously claimed that the court supported his position and described the outcome as a "major victory," but in fact, the court did not make any ruling.Zach stated that Sun Yuchen packaged "temporarily leaving personal demands in court" as a victory, but WLFI never requested to submit his personal demands for arbitration. The motion to dismiss filed by WLFI regarding these personal demands is still pending a court ruling. In other words, the "court support" and "major victory" claimed by Sun Yuchen do not exist.

According to Caixin, the Hong Kong Court of Appeal yesterday rejected the sentence reduction application of the mastermind behind the electric fraud and human trafficking, Ma Zhihao, and upheld the original sentence of 56 months in prison. During the investigation of the case, the Hong Kong police tracked the criminal funds through blockchain and cryptocurrency transaction records, identifying the key points where ransoms and criminal proceeds were received.It is reported that a victim's family paid approximately 9,527 Tether (USDT) to a cryptocurrency wallet designated by the criminals. The blockchain tracking records conclusively prove that 8,127 USDT flowed into an exchange account registered under Ma Zhihao's real name and Hong Kong ID, which was then exchanged for about 63,000 Hong Kong dollars and transferred to his personal HSBC bank account, becoming important evidence of his involvement in the crime and obtaining profits. The Court of Appeal pointed out that if it were not for the 7-year sentencing cap imposed by the District Court, the punishment faced by the defendant would be much heavier than this.