The SEC has launched a complaint against Elon Musk, saying that he breached disclosure regulations during his 2022 Twitter share transaction, underpaying by $150 million and violating securities laws.
The Securities and Exchange Commission (SEC) filed a complaint against Elon Musk on Tuesday, accusing him of violating securities laws when he purchased Twitter shares in 2022.
JUST IN: 🇺🇸 SEC sues Elon Musk over alleged securities violations, days before Gary Gensler is set to resign.
— Watcher.Guru (@WatcherGuru) January 14, 2025
According to the lawsuit, Musk failed to properly declare his ownership in the firm, allowing him to buy shares at what the SEC calls “artificially low prices.”
SEC aacusations surrounding Musk’s Twitter purchase
According to the SEC’s lawsuit in the United States District Court for the District of Columbia, Musk breached disclosure rules by failing to register his Twitter holdings, which exceeded the 5% level required by law.
Musk allegedly paid at least $150 million less for extra shares as a result of the reporting delay.
Musk, who ultimately bought Twitter for $44 billion and renamed it as X, had a significant investment in the social media network before launching the takeover.
The SEC is examining whether Musk or any of his collaborators participated in securities fraud related to the transaction.
This includes investigations into transactions involving Tesla shares, which Musk traded to fund the purchase.
In a statement posted on X last month, Musk claimed that the SEC pressed him to agree a settlement within 48 hours, which included penalties for suspected infractions.
Oh Gary, how could you do this to me? 🥹 pic.twitter.com/OoooQI77ZS
— Elon Musk (@elonmusk) December 12, 2024
Elon Musk’s lawyer, Alex Spiro, called the SEC’s charges unfounded. In a statement, he called the case a “sham” and part of an ongoing attack against Musk.
“Musk has done nothing wrong,” Spiro said, adding that the charges were a “single-count ticky-tack complaint.”
German Authorities accuse Elon Musk of interfering in election politics
Musk’s actions have had far-reaching implications on the world scene.
German authorities have accused him of seeking to influence the country’s upcoming elections by sponsoring Alternative fĂĽr Deutschland (AfD), a far-right party.
US tech billionaire Elon Musk on Saturday reaffirmed his backing for Germany’s far-right Alternative for Germany (AfD) in an op-ed published by the Welt am Sonntag newspaper. His comments set off a storm of criticism in Germany.https://t.co/fRMtZ36Sow
— DW News (@dwnews) December 30, 2024
Musk’s support for the organization has sparked pushback from politicians, with German Chancellor Olaf Scholz often criticizing Musk on X.
Despite the response, Musk has justified his conduct, claiming his freedom to express thoughts as a business owner in Germany.
World Liberty Financial reallocates assets ahead of Trump’s inauguration
With asset reallocations ahead of Trump’s January 20th inauguration, will WLFI increase interest and expand its position in the DeFi market?
World Liberty Financial (WLFI), a decentralized financial enterprise endorsed by President-elect Donald Trump and his sons, Eric Trump, Donald Trump Jr., and Barron Trump, recently responded to questions about its recent cryptocurrency transactions.
On January 15, WLFI clarified via social media that these transactions were routine treasury management processes rather than token sales.
We’re making routine movements of our crypto holdings as part of regular treasury management, and payment of fees and expenses and to address working capital requirements. To be clear, we are not selling tokens—we are simply reallocating assets for ordinary business purposes.…
— WLFI (@worldlibertyfi) January 14, 2025
The business noted that it constantly reallocates funds inside its treasury to pay various operating expenditures, such as fees and working capital requirements, to ensure that WLFI’s operations run smoothly and financially stable.
World Liberty Financial is also reviewing a proposal made by Ethena Labs on December 18, 2024. The proposal asks that Ethena Labs’ staked synthetic dollar, sUSDe, be included into WLFI’s next Aave platform version.
sUSDe is a stablecoin backed by leveraged bets in cryptocurrencies like Bitcoin (BTC) and staked Ethereum (ETH), with the goal of maintaining the US dollar’s stability.
Integrating sUSDe into WLFI’s Aave instance has the potential to boost liquidity and diversify collateral possibilities, allowing users to better manage their funds, obtain loans, and engage in other financial activities.
Additionally, the integration is intended to increase user returns. Those that use sUSDe as collateral would get sUSDe incentives, providing an additional financial incentive to WLFI’s existing yield-generating features.
According to WLFI’s official website, 5.36 billion of the 20 billion WLFI tokens have been sold, leaving 14.645 billion remaining. Investors can swap Ethereum, USDC, Tether, or Wrapped Ether (WETH) for WLFI tokens, with the quantity received based on the investment.
WLFI’s links to Trump have raised its profile, generating interest from both individual and institutional investors in the competitive DeFi sector. With Trump’s inauguration on January 20, platform development may receive more impetus and speed.
Cardano overtakes Bitcoin. Will ADA price hit $1.5?
Cardano pricing should make a significant rebound to $1.5 shortly, aided by strong technicals and as ADA ranking overtakes Bitcoin.
The Cardano price rebounded on Tuesday, a day after it formed a morning star pattern as the crypto crisis worsened. This bounce came when Cardano surpassed Bitcoin in a major rating. So, would this be the beginning of a massive ADA bull run, pushing it to the psychological level of $1.5?
Cardano price rises as it overtakes Bitcoin on a key ranking
According to a Brand Intimacy survey, Cardano is the world’s leading cryptocurrency brand. It has flipped prominent currencies including Bitcoin, Solana, Ethereum, and Ripple. According to the survey, Cardano is the 26th most popular corporate brand in the world, outperforming well-known companies such as Walmart, Toyota, AMD, Ubisoft, and Home Depot.
The report’s findings were based on key categories such as indulgence, fulfillment, ritual, identification, enhancement, and nostalgia. It then employs big data and artificial intelligence to calculate a quotient value, which in this case is 52.6 vs Bitcoin’s 51.9.
Nonetheless, Bitcoin is a more well-known brand in the cryptocurrency business, with a market capitalization of about $2 trillion compared to Cardano’s $34 billion. According to DeFi Llama, Bitcoin has approximately 730,000 active addresses, whereas Cardano has just 31,000. Bitcoin has a total locked value of $6.52 billion, whereas Cardano has $500 million.
Looking ahead, Cardano has multiple triggers that will drive its price higher in the long run. As a prominent cryptocurrency brand, the Securities and Exchange Commission (SEC) is expected to approve a spot ADA ETF as early as this year.
Furthermore, Cardano’s Midnight zero knowledge scaling functionality will be released this year. Cardano will also interface with BitcoinOS, enabling more than $1 trillion in liquidity.
ADA price technical analysis: Can it hit $1.5?
Technical indicators show that ADA’s value has additional potential after Monday’s decline. It created a little morning star candlestick design that resembled a hammer. This pattern, which includes a long bottom shadow, a little body, and a small upper shadow, is a common reversal sign.
Cardano has also established an inverted head-and-shoulders pattern, with the head at $0.7600. An inverted H&S pattern, like the morning star, is a well-known bullish market indicator.
ADA also established a break and retest pattern by temporarily dropping below $0.8082, its high from March 2024. As a result, the coin’s price might rise more in the next weeks. The two resistance levels it has to overcome to reach $1.15 are $1.1500 and $1.3268, with the greatest swings occurring on January 7 and December 3.
The bullish ADA price forecast will be rendered worthless if it falls below the right shoulder at $0.8800. If that happens, it risks falling to the next important support level of $0.7600.
