TechCrunch founder, Michael Arrington’s cryptocurrency investment fund launched last year has been subpoenaed by the United States’ Security and Exchange Commission (SEC), reports say.
The subpoena comes amid rumors that U.S security regulators have been carrying out a broad investigation into ICOs (Initial Coin Offerings). However, it is not yet very clear how far-reaching the investigation is and when it began.
Speaking on the phone with CNBC, Michael Arrington confirmed receiving the subpoena. “We received the subpoena, every cryptocurrency fund I have talked to also received one,” he told the network. “That is fine. They only have to figure out what exactly they want. They should set up rules for us to follow, and the markets are begging them for this,” he added.
The comments in the phone interview with CNBC come days after several tweets (which have since been deleted) in which the TechCrunch founder struck a somewhat critical tone on the efforts of the Securities and Exchange Commission.
In one tweet, Arrington wrote, “I am not mad, I am terrified. These are only blue-chip deals involving top law firms that checked every single box thought of. The SEC is not just going after the companies, but investors as well.”
This disclosure comes just a day after e-commerce firm Overstock also revealed that they had received what they termed as a “voluntary document request” from the same security regulator.
During CoinDesk’s Consensus last year November, Michael Arrington announced that he was raising a total of $100 million for a cryptocurrency fund known as Arrington XRP Capital.
The Securities and Exchange Commission has, thus far, refused to make any comments on the nature and scope of the investigation. However, according to a reliable source, the investigation stretches as far back as last fall, and more than 80 firms have so far received subpoenas. Other estimates range higher than this figure.
