Disgorgement is the court-ordered act of surrendering ill-gotten gains to the regulator. In crypto enforcement actions, the SEC or other regulators require the company to give up all the funds raised from the unregistered token sale.
The purpose is to strip the wrongdoer of their profits. These funds are often then used to compensate investors who purchased the unregistered securities.
Disgorgement is the court-ordered act of surrendering ill-gotten gains to the regulator. In crypto enforcement actions, the SEC or other regulators require the company to give up all the funds raised from the unregistered token sale.
The purpose is to strip the wrongdoer of their profits. These funds are often then used to compensate investors who purchased the unregistered securities.
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