SEC Charges Stoner Cats Creator for Unregistered NFT Offering, Mila Kunis-Backed Project Settles for $1 Million

The Securities and Exchange Commission (SEC) has charged Stoner Cats 2 LLC (SC2) for conducting an unregistered offering of non-fungible tokens (NFTs) that raised approximately $8 million from investors. SC2 sold over 10,000 NFTs for $800 each, emphasizing the potential for profits through resale on the secondary market. The SEC found that SC2 violated securities laws by offering and selling these crypto asset securities in an unregistered offering. SC2 has agreed to a cease-and-desist order, a $1 million civil penalty, and the establishment of a Fair Fund to return investor funds.