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Lido Denies Rumors of Receiving Wells Notice, LDO Dumps 15%

Published 03/06/2023, 12:00 PM
Lido Denies Rumors of Receiving Wells Notice, LDO Dumps 15%
ETH/USD
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  • Bankless podcaster David Hoffman said on Friday that multiple crypto companies, including Lido, have received Wells Notices in the past months.
  • Lido denied having received a Wells Notice.
  • LDO dumped almost 20% once the rumor started spreading but failed to recover after it turned out to be false.
The Ethereum ecosystem was perplexed on Friday after a rumor started spreading on Twitter that the decentralized finance (DeFi) ecosystem might experience a shock in the near future.

David Hoffman, a podcaster at Bankless, said in one of the podcasts on Friday that multiple DeFi companies have received Wells Notices.

https://twitter.com/mdudas/status/1631717071318052864?s=20 A Well Notice is a formal document informing the recipient that the Securities and Exchange Commission (SEC) is about to bring enforcement actions against the recipient.

“Many Wells Notices have been...

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