The United States Securities and Exchange Commission (SEC) today issued an order appointing DST Asset Manager Solutions, Inc as the administrator of the Poloniex fair fund.

As FX News Group has reported, on August 9, 2021, the SEC imposed a Cease-and-Desist Order against Poloniex, LLC.

In that Order, the regulator found that from July 2017 through November 2019, Poloniex operated a digital asset trading platform that meets the definition of an “exchange” under the federal securities laws. The Commission found that Poloniex did not register as a national securities exchange nor operate pursuant to an exemption from registration at any time, in violation of Section 5 of the Securities Exchange Act of 1934.

The Commission ordered Poloniex to pay $8,484,313.99 in disgorgement, $403,995.12 in prejudgment interest, and a $1,500,000.00 civil money penalty to the Commission. The Commission also created a Fair Fund, pursuant to Section 308(a) of the Sarbanes-Oxley Act of 2002, so the penalty paid, along with the disgorgement and interest paid, can be distributed to harmed investors.

The Fair Fund consists of the $10,388,309.10 paid by Poloniex. The Fair Fund has been deposited in an interest-bearing account at the U.S. Department of the Treasury’s Bureau of the Fiscal Service, and any accrued interest will be for the benefit of the Fair Fund.