The SEC has ruled that cryptocurrency mining devices sold by Green United are securities.
The SEC accused the company of defrauding investors, claiming that the Green Boxes did not mine real tokens, but instead the company purchased unmined tokens and credited them to investors’ accounts.
A Utah court agreed with the SEC, saying that device hosting agreements with promises of high profits fall under the definition of securities.
Green United claims that no investors lost money and accuses the SEC of improperly applying the law.