Seattle-based esports betting company Unikrn will pay $6.1M (£4.7M) to settle charges imposed by the U.S. Securities and Exchange Commission (SEC) on Tuesday.
The fine, which Unikrn has agreed to pay in full, indicates the company conducted an unregistered initial coin offering (ICO) for its esports betting cryptocurrency UnikoinGold (UKG) between June and October 2017. In total, the securities offering raised $31M (£23.8M) for the Mark Cuban and Ashton Kutcher-backed company.
The $6.1M penalty, representing “substantially all of the company’s assets,” the SEC said in a news release. In addition to returning money to UKG investors, Unikrn has agreed to disable the crypto coin and request its removal from all digital asset trading platforms.