SEC investigates DeFi platform Barnbridge

After exchanges, the US Securities and Exchange Commission's tough stance now affects several DeFi platforms.

The U.S. Securities and Exchange Commission (SEC) has apparently launched its first investigations into the DeFi sector of crypto. Their first target: the Barnbridge Risk Management Protocol (BOND). Barnbridge DAO-elected legal counsel, Douglas Park, confirmed the agency's investigation on Discord. Barnbridge shared a corresponding screenshot on Twitter shortly thereafter. The SEC's investigation is "not public and walking" and therefore he can at this time "no further information" share, Park said in his message. The project also paused existing liquidity pools and further development "until further notice", aldus Park.

Individual members of the DAO have also been targeted in the investigation that has been launched. Meanwhile, Barnbridge founder Tyler Ward announced on Twitter his resignation from the crypto sector. The Barnbridge investigation confirms rumors of multiple SEC actions against the DeFi sector.

Earlier regulatory efforts have focused on central crypto exchanges, including Coinbase at Binance.