Judge dismisses SEC lawsuit against Hex Token founder Richard Heart

According to Bloomberg, a federal judge in Brooklyn, New York, rejected the lawsuit brought by the US SEC against cryptocurrency founder Richard Heart. The founder was accused of illegally using millions of dollars of investor funds to purchase a 555-carat black diamond. The SEC accused Heart of raising over $1 billion by selling unregistered securities, including Hex tokens and other digital assets related to his PulseChain blockchain network and PulseX decentralized finance platform. The agency initially stated in the lawsuit that Heart and PulseChain used at least $12.1 million of investor funds for personal luxury purchases, including diamonds, expensive watches, and high-end cars. Judge Carol Amon believed that the SEC failed to provide enough evidence to prove that these actions took place in the United States, allowing the US Securities and Exchange Commission to amend its complaint to "correct the discovered defects."