The Stoner Cats 2 project is being sued by the SEC for selling unregistered securities in order to raise funds for a web series.
The SEC lawsuit is demanding that they cease and desist from further Securities Act violations, pay a $1M penalty, destroy all remaining NFTs in their possession, and assist in distributing funds to reimbursed injured investors.
Stoner Cats did not formally admit fault regarding the lawsuit but have agreed to resolve each of SEC’s demands including paying the $1M penalty and establishing a Fair Fund for investors.
For more details, read the lawsuit and settling here:
https://www.sec.gov/news/press-release/2023-178
https://www.sec.gov/files/litigation/admin/2023/33-11233.pdf