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Herding a Bunch of Stoned Cats

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On Sept 13, 2023, for its second non-fungible token (NFT) related enforcement action, the SEC issued a settled Order against Stoner Cats 2, LLC (“SC2”) for SC2’s offer and sale of 10,320 NFTs linked to images of characters from an animated web series called Stoner Cats. The sale, which occurred on June 27, 2021, lasted 35 minutes and raised $8.2 million in ETH for the show. The NFTs began trading on the secondary market immediately; the smart contract for the NFTs was configured for SC2 to…
By: Seward & Kissel LLP
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