#United States #Costa Mesa #Impact Theory #Founder's Keys #SEC Settlement

Overview of SEC's Settlement Regarding Impact Theory

In a significant move in the crypto sector, the Securities and Exchange Commission (SEC) has reached a settlement concerning Impact Theory, Inc., which involved the controversial sale of crypto asset securities known as Founder's Keys. This settlement comes after the SEC determined that the company had violated securities regulations between October 13, 2021, and December 6, 2021.

Details of the Enforcement Action

On February 24, 2025, the SEC disclosed that Impact Theory had failed to register the Founder's Keys, leading to a total penalty amounting to $6,103,914.17. This sum includes $5,120,718.27 in disgorgement, $483,195.90 in prejudgment interest, and a $500,000 civil penalty. The SEC's decision aims to compensate affected investors through a Fair Fund established through the Sarbanes-Oxley Act of 2002.

Who is Eligible for Compensation?

Individuals who purchased or acquired Founder's Keys within the specified time frame may qualify for payments from this Fair Fund. To receive compensation, claimants need to fulfill several criteria:

• - They must have purchased or acquired Founder's Keys during the designated period.
• - A timely Claim Form must be submitted to the Fund Administrator.
• - Claimants must have suffered a Recognized Loss as defined in the Plan of Distribution.
• - Applicants must not fall under the Excluded Party category outlined in the plan.

Claim Submission Process

The SEC has streamlined the claims process to ensure affected investors can easily apply for their rightful share of the Fair Fund. The preferred method for claim submission is through the official website, ImpactTheoryFairFund.com. All online submissions must be completed by 11:59 P.M. Eastern Standard Time on August 15, 2025.

For those unable to use online services, the Fund Administrator offers paper Claim Forms upon request. It is essential that any mailed Claim Forms be postmarked by the submission deadline to ensure eligibility.

Additional Information

Once the Claim Forms are reviewed, claimants will receive a Determination Notice informing them of their eligibility and calculated Recognized Loss. The Fund Administrator will also address any disputes concerning eligibility or loss calculations.

For additional details on the settlement and claims process or to download claim forms, interested parties should visit the Fair Fund website or contact the Fund Administrator directly at the email or phone number provided in their announcements.

Conclusion

This action by the SEC underscores the regulatory body’s commitment to ensuring investor protection in the rapidly evolving landscape of cryptocurrency. It serves as a reminder for investors to conduct thorough due diligence and remain aware of the legal frameworks governing their investments.

Stay informed about any updates related to this case and potential payouts through the resources provided by Simpluris, the Fund Administrator for the Fair Fund surrounding Impact Theory, Inc.