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Unveiling the MailerLite Phishing Attack: A Deep Dive into the Crypto Market Breach

The recent phishing attack on email service provider MailerLite has raised significant concerns within the crypto market. The company disclosed to Decrypt that the breach, which occurred when a support team member unwittingly fell victim to a deceptive link and provided their Google credentials, resulted in unauthorized access to MailerLite's internal system. Here are the key points of the incident: Hackers gained access to MailerLite's internal system by executing a password reset for a specific user on the admin panel. They were able to impersonate user accounts, focusing primarily on cryptocurrency-related accounts. A total of 117 accounts were accessed, with some being used to launch phishing campaigns using stolen information. Notable affected accounts included CoinTelegraph, Wallet Connect, Token Terminal, DeFi, and Decrypt. The hackers managed to steal over $580,000, according to ZachXBT, with the funds being sent to a specified address. Web3 security firm Blockai

BlackRock Settles Charges with SEC: Implications for Investors and the Crypto Industry

the SEC's review of BlackRock's application for a Bitcoin exchange-traded fund (ETF). If approved, this would mark a significant milestone as the first Bitcoin ETF in the United States. However, amidst this anticipation, the SEC has settled charges against BlackRock for misleading investors with inaccurate descriptions of investments in the entertainment industry. The settlement includes a $25 million fine, which BlackRock has agreed to pay without admitting or denying the allegations.

Allegations of Misleading Disclosures

The SEC alleged that from 2015 to 2019, BlackRock's Multi Sector Income Trust (BIT) made investments in the film company Aviron Group, LLC. However, BlackRock inaccurately described Aviron as a "Diversified Financial Services" company, which the SEC found to be misleading. Accurate disclosures of a fund's portfolio holdings are crucial for both retail and institutional investors to assess their current or potential investments. By failing to provide accurate information about the companies in its portfolio, BlackRock violated its responsibility as an investment adviser.

False Claims of Higher Interest Rate

In addition to misleading disclosures, the SEC also accused BlackRock of falsely claiming that Aviron paid a higher interest rate than it actually did. This misrepresentation further undermined the accuracy of BlackRock's information provided to investors. The SEC's Tuesday announcement stated that BlackRock identified these inaccuracies in 2019 and began accurately reporting the Aviron investment in subsequent reports.

Past Violations by BlackRock

This is not the first time that BlackRock has faced legal action from the SEC. In 2015, BlackRock Advisors was fined $12 million for failing to disclose a conflict of interest. Then, in 2017, the firm was fined $340,000 for improperly using separation agreements that prevented exiting employees from receiving whistleblower awards. These previous violations raise concerns about BlackRock's compliance practices and adherence to regulatory requirements.

Implications for the Crypto Industry

While the settlement with the SEC over misleading disclosures in the entertainment industry does not directly impact BlackRock's application for a Bitcoin ETF, it does highlight the importance of accurate and transparent information in the financial industry. As the crypto industry eagerly awaits the SEC's decision on the Bitcoin ETF, the outcome of this case may serve as a reminder for all investment managers to ensure accurate disclosures and compliance with regulatory standards.

In conclusion, BlackRock has settled charges with the SEC for misleading investors with inaccurate descriptions of investments in the entertainment industry. The settlement includes a $25 million fine, and BlackRock has agreed to pay without admitting or denying the allegations. This case underscores the significance of accurate disclosures and transparent information for investors. While the outcome of this case does not directly impact BlackRock's application for a Bitcoin ETF, it highlights the importance of compliance and accurate reporting in the financial industry.

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