The US SEC has begun returning more than $4.6 million to investors in the defunct blockchain project BitClave

Odaily News Nearly two years after announcing plans to repay funds to investors in the failed blockchain project BitClave, the agency is "mailing checks," according to an official SEC announcement. The defunct startup BitClave previously agreed to repay all the funds it raised and pay a $4.6 million fine to resolve the SEC's 2017 lawsuit regarding unregistered ICOs. The SEC sued BitClave in 2020, alleging that its Consumer Activity Token (CAT), which was crowdfunded for $25.5 million three years ago, violated federal securities laws. In total, BitClave agreed to pay approximately $29 million to the BitClave Fair Fund, a structure for distributing fines and disgorgement to defrauded investors. It is unclear whether the startup paid the full amount; as of February 2023, only $12 million was in this account, CoinDesk reported.