The decentralized wireless network crypto project based on Solana (SOL) called Helium (HNT) has experienced a significant surge in value following the dismissal of a lawsuit brought against it by the U.S. Securities and Exchange Commission (SEC). The SEC had alleged that Helium violated securities laws, but the regulatory agency has now dropped the case.
According to a recent statement by Helium developer Nova Labs, they have agreed to settle the matter with the SEC by paying a fine of $200,000 without admitting any wrongdoing. This development has had a positive impact on the price of HNT, which saw a sharp increase from $2.62 to $3.03 in just one day after the news broke. The token is currently trading at $2.96, reflecting a nearly 10% increase over the past 24 hours.
The lawsuit, which was originally filed in January, accused Nova Labs of distributing unregistered securities. However, with the case now dismissed, Helium and its associated tokens, including HNT, MOBILE, and IOT, have been cleared of any securities violations. The SEC has agreed not to bring these charges against Helium again, providing a sense of legal certainty for the project and the broader crypto industry.
In a blog post celebrating the dismissal of the case, Helium described it as a “landmark outcome” for the digital assets industry and decentralized physical infrastructure networks (DePIN) technology. The project believes that the ruling sets a precedent for future DePIN projects that use crypto incentives to build real-world infrastructure.
This dismissal is part of a trend of dropped lawsuits against major crypto players since President Donald Trump assumed office. Other cases that have been resolved include those against exchanges like Kraken and Coinbase, trading platforms like Robinhood, NFT marketplace OpenSea, and crypto wallet developer MetaMask.
The outcome of the lawsuit signifies a positive development for the Helium community and the broader crypto industry, providing clarity on the regulatory treatment of projects like Helium that incentivize network growth through the distribution of tokens. This news is likely to bolster investor confidence in the project and could lead to further price appreciation for HNT in the future.
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