‘SEC investigation’ leads Ethereum DeFi protocol BarnBridge to order halt
DeFi protocol BarnBridge says it has drawn attention of the US Securities and Exchange Commission (SEC), although has stopped short of explaining exactly what for. In a Discord screenshot, later tweeted by BarnBridge’s official handle, elected legal counsel Douglas Park said the DAO and associated individuals were under SEC investigation . “Because the SEC’s investigation is ongoing and non-public, I am limited in the information that I will share publicly,” Park said. The update was later confirmed by BarnBridge CEO Tyler Ward. BarnBridge products, powered by Ethereum, focus on tokenizing risk exposure. They aim to provide crypto users new ways to hedge their positions. Blockworks has reached out to BarnBridge for comment. In a bid to reduce further legal liability, BarnBridge is shutting all existing liquidity pools (deployed to Ethereum, Arbitrum and Optimism) while restricting the creation of new ones, per the statement. About $1.2 million is currently in those pools. All w...