The United States Securities and Exchange Commission has approved a distribution plan for investors of Impact Theory affected by unauthorized sale of crypto assets.
Introduction to the Impact Theory Case
The United States Securities and Exchange Commission (SEC) has settled administrative proceedings against Impact Theory. It was found that between October 13, 2021, and December 6, 2021, the company violated Sections 5(a) and 5(c) of the Securities Act by offering and selling crypto asset securities known as Founder's Keys without proper registration or exemption.
The Fund and its Distribution
SEC has ordered Impact Theory to pay over $6 million including disgorgement, interest, and penalties. These funds will be distributed to affected investors through a Fair Fund established under Section 308(a) of the Sarbanes-Oxley Act. Distribution will occur according to the approved plan.
Eligibility for Payments
To receive payment from the fund, participants must have purchased Founder's Keys during the specified period, submitted a claim, and suffered a Recognized Loss as per the plan. Claims must be submitted by August 15, 2025, either online or via mailed paper form.
The Impact Theory fair fund initiative provides restitution to affected investors, offering a clear claims process and allocation of funds.
