Category: SEC (USA) Alerts

Analysis | Banning Payment for Order Flow Would Be a Huge Mistake

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The fee comes from the bid-ask spread, or the difference between what it costs to buy (ask) and sell (bid) a stock or ETF. The spread can be as little as a penny a share or more than a dollar depending on various factors, such as trading volume and volatility. During the second quarter, market makers kept about half the spread of the average retail stock trade and returned slightly more than a tenth to brokers, according to numbers compiled by Bloomberg Intelligence. The rest went to investors as price improvement, meaning that market makers executed the trades at better prices than those quoted on exchanges. 

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To appreciate the significance of payment for order flow, it helps to know a bit about the history of trading commissions. For more than 180 years, from 1792 to 1975, commissions were fixed and non-negotiable. Brokers were not permitted to offer lower commissions to customers and could be barred for doing so. Investors paid anywhere from tens to hundreds of dollars a trade, and they were the lucky ones because few people had access to brokers in those days. Investing was the province of fancy Wall Street firms and the well-heeled investors they invited to play. 

On May 1, 1975, a day known as May Day, the Securities and Exchange Commission broke up the club. From that day forward, brokers could offer lower commissions, opening the door to discount brokers such as Schwab and giving millions of new investors access to markets. But not everyone. Commissions still weren’t cheap, and fractional shares were not yet an option, so buying a basket of stocks required at least several thousand dollars. Payment for order flow and fractional shares have removed those remaining barriers. Even a handful of dollars can now become a stock portfolio. 

It’s not just better for the little guy. Investors pay a spread with or without a commission, so removing commissions reduces trading costs for everyone. That wouldn’t be true if payment for order flow somehow caused spreads to widen. It just so happens that spreads have widened modestly since discount brokers eliminated commissions in October 2019. The median spread for the largest 3,000 U.S. stocks by market value was 4 cents a share at the end of September 2019. Today it’s closer to 7 cents a share.

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But it would be premature to blame those wider spreads on payment for order flow or even to worry that spreads have widened for good. For one, most of the past two years have coincided with a global pandemic that has cranked up market volatility, and spreads widen as volatility increases. When the pandemic eases, spreads are likely to tighten again. Two, it isn’t the quoted spread that counts but what investors pay. Even if spreads prove to be persistently wider in the era of zero commissions, market makers may still be able to offset wider spreads with better trade execution, as they appear to have done to some extent in the second quarter. And three, giving millions of new investors access to markets may increase trading volume, which should narrow spreads over time.

It’s also worth considering that payment for order flow is a fairer system. Commissions for retail investors were mostly fixed dollars, which resulted in higher trading costs for smaller investors relative to the size of their portfolio. With commissions gone, investors big and small should bear roughly the same trading costs as a percentage of their investments, even though larger investors may still pay slightly less given that bigger trades offer more avenues to negotiate prices.

So what’s not to like? Critics say brokers have a conflict of interest because their incentive is to route order flow to market makers that kick back the highest fees, not necessarily those that deliver the best prices for investors. (Gary Gensler, the chair of the SEC, says a ban on the practice is “on the table.”) While the conflict is undeniable, brokers also have a legal obligation to obtain the best possible trade execution and to review the quality of their execution at least quarterly. They should be required to disclose the results of those reviews to investors, along with numbers showing how spreads are divided among market makers, the broker and investors. With that information, consumers can decide which brokers best manage their conflicts.

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Some critics also fear that payment for order flow allows market makers to front run. They might use order flow information to place trades with their own money ahead of those of customers, thereby raising trading costs in a way that’s difficult for investors to track. But that risk exists no matter who has order flow information, which is one reason it’s illegal and within regulators’ power to monitor and enforce.

This isn’t the first time a change in trading commissions provoked a backlash. May Day was wildly unpopular on Wall Street. The New York Stock Exchange threatened to sue the SEC if it did away with fixed commissions. Responding to critics, SEC Chair Ray Garrett Jr. said this at the time: “I am hopeful that it may also be a beginning — the beginning of a new period in the securities industry based on economic reality, modern equipment and business efficiency, as well as continuing in the tradition of service to the public and effective cooperative regulation that we have seen in the past.”

And so it was. Those words are just as relevant today about payment for order flow, a logical next step on the road to more open and fair markets. 

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This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.

Nir Kaissar is a Bloomberg Opinion columnist covering the markets. He is the founder of Unison Advisors, an asset management firm. He has worked as a lawyer at Sullivan & Cromwell and a consultant at Ernst & Young.

©2021 Bloomberg L.P.

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Modiv Inc. Announces Offering of Series A Cumulative Redeemable Perpetual Preferred Stock

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NEWPORT BEACH, Calif., Sept. 13, 2021 (GLOBE NEWSWIRE) — Modiv Inc. (“Modiv” or the “Company”) today announced the launch of a proposed underwritten public offering of 1,400,000 shares of its Series A Cumulative Redeemable Perpetual Preferred Stock (the “Series A Preferred Stock”), pursuant to a registration statement on Form S-11 filed with the Securities and Exchange Commission (the “SEC”). The underwriters are expected to be granted a 30-day option to purchase up to an additional 210,000 shares of Series A Preferred Stock. The Company has applied to list the shares of Series A Preferred Stock on the New York Stock Exchange under the ticker symbol “MDVA.”
The Company plans to contribute the net proceeds it receives from the offering to its operating partnership in exchange for a new class of preferred units, which will have economic interests that are substantially similar to the designations, preferences and other rights of the Series A Preferred Stock. The Company, acting through its operating partnership, intends to use the net proceeds from this contribution for general corporate purposes, which may include purchases of additional properties and other real estate and real estate-related assets.
The joint bookrunning managers for the offering are B. Riley Securities, Inc., Ladenburg Thalmann & Co. Inc., and William Blair & Company, L.L.C. The lead manager for the offering is Colliers Securities LLC, and the co-managers for the offering are Aegis Capital Corporation, Boenning & Scattergood, Inc., Huntington Capital Markets, InspereX LLC, Maxim Group LLC, and Wedbush Securities Inc.
About Modiv Modiv Inc., a real estate, fintech and proptech asset manager, is reimagining modern real estate investing for individual investors. Driven by innovation, an investor-first focus and an experienced management team, Modiv has created one of the largest non-listed real estate investment funds to be raised via crowdfunding technology and the first real estate crowdfunding platform to be completely investor-owned. Modiv provides individual investors access to real estate and real estate-related investments designed to provide both income and long-term growth.

Important Notice This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction. A registration statement on Form S-11 relating to the shares of Series A Preferred Stock has been filed with the SEC but has not yet become effective. The shares to be registered may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This offering is being made only by means of a prospectus. Copies of the preliminary prospectus relating to these securities may be obtained from B. Riley Securities, Inc. You should direct any requests to B. Riley Securities, Inc., Attention: Prospectus Department, 1300 17th Street North, Suite 1300, Arlington, Virginia 22209, by telephone at (703) 312-9580 or by email at [email protected]. You may also obtain a copy of the preliminary prospectus and other documents the Company has filed with the SEC for free by visiting the SEC ‘s website at http://www.sec.gov. The proposed offering is subject to market and other conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.
Forward-looking Statements This press release contains certain forward-looking statements which are based upon the Company’s current expectations and are inherently uncertain, including forward-looking statements with respect to the offering and use of proceeds. Any such statements other than statements of historical fact are likely to be affected by other unknowable future events and conditions, including elements of the future that may or may not be under the Company’s control, and that the Company may or may not have considered. Accordingly, no assurances can be given that the securities offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. Completion of the securities offering on the terms described, and the application of net proceeds, are subject to numerous conditions, including, without limitation, market conditions and other risks and uncertainties as detailed under the caption “Risk Factors” in the Company’s registration statement on Form S-11. Any such forward-looking statements speak only as of the time when made and are based on information available to the Company as of such date and are qualified in their entirety by this cautionary statement. The Company assumes no obligation to revise or update any such statement now or in the future, unless required by law.
Media Contact Alex J. Stockham | Senior Vice President RUBENSTEIN astockham@rubenstein.

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Forge Global to Go Public in $2 Billion Merger with Motive Capital Corp

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Forge’s mission is to create an accessible, liquid and transparent private marketForge operates a leading global private securities marketplace, with technology that is transforming the global private market ecosystem for investors, private companies, shareholders and employeesKelly Rodriques to continue as CEO of the combined companyMotive to add two board members to the combined entity’s board of directorsTransaction values Forge at up to $2 billion post-moneyTransaction expected to provide up to $532.5 million in cash proceeds prior to the payment of transaction expenses and up to $100 million of cash consideration, including $118.5 million between committed PIPE proceeds and Motive Partners’ Forward Purchase AgreementThe $118.5 million includes $50 million in cash proceeds under Motive Partners’ Forward Purchase Agreement and $68.5 million in PIPE financing anchored by ION Group’s $50 million commitment and contributions from Temasek and Adit VenturesMotive Partners’ Funds have committed an additional $90 million backstop under the Forward Purchase AgreementJoint investor call and presentation on September 13, 2021 at 3 p.m. ET at this linkSAN FRANCISCO, September 13, 2021–(BUSINESS WIRE)–Forge Global, Inc. (“Forge”), a leading global private securities marketplace, today announced it has entered into a definitive business combination agreement with Motive Capital Corp (NYSE: MOTV.U), a special purpose acquisition company sponsored by affiliates of Motive Partners, a financial technology specialized private equity firm. Forge will become a publicly traded company upon the closing of the transaction, currently expected in the fourth quarter of 2021 or first quarter of 2022. The transaction reflects a $2.0 billion approximate valuation for the pro forma combined company. The transaction is subject to customary closing conditions, including approval by shareholders of Motive Capital Corp and Forge, the effectiveness of a registration statement to be filed with the Securities and Exchange Commission (the “SEC”) in connection with the transaction and the approval of the South Dakota Division of Banking for the change in control of Forge’s subsidiary trust company.Story continuesCompany OverviewWith liquidity solutions, exclusive data and insights and a vibrant marketplace, Forge’s goal is to power a global private market that is transparent, accessible and seamless for companies, their employees and investors. Through Forge, employees can sell their private shares, employers can reward shareholders with pre-IPO liquidity and individual and institutional investors can participate in private unicorn growth.Forge’s differentiated global marketplace addresses rising demand among individual and institutional investors for exposure to private company stocks and it is building a growing network effect with defensible competitive advantages. Private company coverage on the platform has continuously increased, with a 114% increase in distinct private companies traded in the period between January 1, 2018 and June 30, 2021. Similarly, its customer base has grown 225% in the same period.The Forge marketplace has nearly 400,000 registered users, including over 123,000 accredited investors. Private shares have traded in more than 400 companies since inception, representing over $10 billion in volume across 19,000 transactions with buyers and sellers in 70 countries. Through its custody offering Forge Trust, the company has approximately $14 billion in assets under custody and about $600 million of cash across 1.9 million customers.Motive Capital Corp Overview Motive Capital Corp is sponsored by affiliates of Motive Partners, a specialist private equity firm renowned for its passionate focus on and track record in financial technology. With its deep expertise and network, Motive Partners intends to be a long-term strategic partner to Forge, accelerating growth and innovation together in a market with substantial tailwinds.Management CommentsKelly Rodriques, Chief Executive of Forge Global said:”We firmly believe that everyone should be able to participate in the private markets, and we have strategically invested in the development of technology to operate what we believe to be an efficient and liquid market, connecting a large number of private companies, shareholders and investors. The confidence and commitment demonstrated by Motive Capital Corp, and other leading investors is a testament to our business model, the strength of our team and the huge market opportunity in front of us. With this transaction, we will be even better positioned to accelerate our mission and bring innovation to the private markets while delivering value to our shareholders.”Blythe Masters, Chief Executive of Motive Capital Corp said:”Forge lies at the confluence of several mega trends that are driving value in fintech: electronification and digitization of markets and services, the growth of tech-powered platform businesses, opening architectures in wealth management that are broadening access to new asset classes and rapid expansion of private capital. We found it hard not to love this story.”Transaction OverviewUpon completion of the transaction, the combined company is expected to have a fully diluted equity value on a pro forma basis of approximately $2.0 billion, assuming redemptions are no greater than $90 million by existing Motive Capital Corp shareholders.The transaction is expected to deliver approximately $532.5 million of gross proceeds to the combined company prior to the payment of transaction expenses and up to $100 million of cash consideration, including the contribution of up to $414 million of cash held in Motive Capital Corp’s trust account from its initial public offering in December 2020.The combination is further supported by a $50 million commitment under Motive Partners’ Forward Purchase Agreement and a $68.5 million PIPE at $10 per share supported by ION Group, Temasek and Adit Ventures. Certain Motive Partners’ funds will provide up to an additional $90 million as a backstop via its Forward Purchase Agreement.Existing Forge shareholders are expected to roll 90% of their equity into the combined company. Concurrent with closing, up to $100 million of the transaction proceeds will be paid to certain existing Forge shareholders as cash proceeds for a portion of their existing equity.The transaction has been unanimously approved by the Boards of Directors of both Motive Capital Corp and Forge.Additional information about the transaction, including a copy of the business combination agreement and investor presentation, will be included in a Current Report on Form 8-K to be filed by Motive Capital with the SEC and available at www.sec.gov. In addition, Motive Capital intends to file a registration statement on Form S-4 with the SEC, which will include a proxy statement/ prospectus, and will file other documents regarding the proposed transaction with the SEC.AdvisorsFinancial Technology Partners and FTP Securities (FT Partners) served as financial advisors to Forge. JMP Securities LLC, Piper Sandler, Oppenheimer & Co. Inc., and William Blair & Company, LLC acted as capital markets advisors to Forge. Goodwin Procter LLP acted as legal advisor to Forge.UBS Investment Bank is serving as financial advisor to Motive Capital Corp. Gibson, Dunn & Crutcher LLP acted as legal advisor and Oliver Wyman served as a strategic advisor to Motive Capital Corp. UBS Investment Bank and J.P. Morgan are serving as capital markets advisors and placement agents to Motive Capital Corp. Mayer Brown LLP acted as legal advisor to the placement agents.Investor Conference Call Management of Forge and Motive Capital will host a recorded investor conference call on Sep. 13, 2021 at 3:00 p.m. ET to discuss the proposed transaction and review an investor presentation. An audio webcast of the call will be available at this link.About ForgeForge is a leading provider of marketplace infrastructure, data services and technology solutions for private market participants. By combining world-class trading technology and operating expertise, Forge Markets enables private company shareholders to trade private company shares with accredited investors. Forge Company Solutions, Forge Data and Forge Trust along with Forge Markets provide the transparency, access and solutions that companies, as well as institutional and individual investors need to confidently navigate and efficiently transact in the private markets. Securities related services are offered through Forge Securities LLC (“Forge Securities”), a wholly-owned subsidiary of Forge Global, Inc. Forge Securities is a registered Broker Dealer and, Member FINRA/SIPC and alternative trading system.About Motive Capital CorpMotive Capital Corp is a blank check company formed for the purpose of effecting a merger, stock exchange, asset acquisition, stock purchase, reorganization or similar business combination. Motive Capital Corp is sponsored by affiliates of Motive Partners, a specialist private equity firm with offices in New York City and London, focusing on growth equity and buyout investments in software and information services companies based in North America and Europe and serving five primary subsectors: Banking & Payments, Capital Markets, Data & Analytics, Investment Management and Insurance. Motive Partners brings differentiated expertise, connectivity and capabilities to create long-term value in financial technology companies.In these materials, references to “Motive Partners” generally refer to Motive Partners GP, LLC, collectively with its affiliates and any investment funds, investment vehicles or accounts managed or advised by any of the foregoing (each such fund, vehicle or account, a “Motive Fund”). Motive is sponsored by Motive Capital Funds Sponsor, LLC (the “Sponsor”), which is an affiliate of Motive Partners. However, Motive Capital Corp is an independent publicly traded company, and not affiliated with Motive Partners. Motive Partners has not and is not providing investment advice to any person in connection with the matters contemplated herein, including Motive Capital Corp, the Sponsor or Forge.This material is neither an offer to sell nor a solicitation of an offer to buy any security in any Motive Fund, and may not be used or relied upon in connection with any offer or solicitation. A private offering of interests in a Motive Fund may only be made by such Motive Fund pursuant to the offering documents for such Motive Fund, which will contain additional information about the investment objectives, terms, and conditions of an investment in such Motive Fund and also contain tax information and risk disclosures that are important to any investment decision regarding such Motive Fund. The information contained in this material is superseded by, and is qualified in its entirety by reference to such offering documents. This communication is intended only for persons resident in jurisdictions where the distribution or availability of this communication would not be contrary to applicable laws or regulations.Past performance or activities are not necessarily indicative of future results, and there can be no assurance that any Motive Fund will achieve results comparable to those presented herein, or that any Motive Fund will be able to implement its investment strategies or achieve its investment objectives. A Motive Fund’s investment and applicable investment restrictions may differ from those historically employed by Motive Partners, and economic conditions may differ materially from the conditions under which any other investment fund, investment vehicle or account managed by Motive Partners has previously invested.

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Former head of SEC’s complex products group goes to private practice

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Signage is seen outside of the law firm Skadden, Arps, Slate, Meagher & Flom LLP in Washington, D.C., U.S., August 30, 2020. REUTERS/Andrew KellySkadden, Arps, Slate, Meagher & Flom LLP and AffiliatesSee allThe company and law firm names shown above are generated automatically based on the text of the article. We are improving this feature as we continue to test and develop in beta. We welcome feedback, which you can provide using the feedback tab on the right of the page.WASHINGTON/NEW YORK, Sept 13 (Reuters) – Longtime U.S. Securities and Exchange Commission (SEC) enforcement official Daniel Michael is joining a law firm after more than a decade at the securities regulator.Michael, who recently left the SEC, will join Skadden, Arps, Slate, Meagher & Flom LLP, the firm said in a statement on Monday. Michael began working for the SEC’s enforcement division in October 2010 and most recently ran a unit tasked with investigating potential misconduct of asset-backed securities and other complex financial products.While at the SEC, he investigated high-profile cases into financial institutions including JPMorgan Chase, led a team to bring charges against Merrill Lynch for violating customer protection rules, and oversaw the agency’s first-ever case against a decentralized finance lender.Michael will join Skadden’s New York office.”His ten years of SEC Enforcement Division experience, including his leadership of the nationwide group handling some of the SEC’s most complex cases, will undoubtedly prove extremely valuable to our clients,” said David Meister, David Meister, head of the firm’s government enforcement and white collar crime group in New York.

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Inpixon Announces Pricing of $54.1 Million Registered Direct Offering of Convertible Preferred Stock and Warrants to Acquire Common Stock at a Per Share Price of $1.25

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PALO ALTO, Calif., Sept. 13, 2021 /PRNewswire/ — Inpixon (Nasdaq: INPX), the Indoor Intelligence™ company, today announced that it has entered into a securities purchase agreement with certain institutional investors to purchase 58,750 shares of Series 7 convertible preferred stock and warrants to purchase up to an aggregate of 47,000,000 shares of common stock.  Each share of Series 7 convertible preferred stock and 800 warrants will have a combined purchase price of $920, representing an original issue discount of 8% of the stated value of the Series 7 preferred stock.  Each share of Series 7 convertible preferred stock will have a stated value of $1,000 and is immediately convertible into shares of Inpixon’s common stock at an initial conversion price of $1.25 per share. Total gross proceeds, before deducting the placement agent’s fees and other estimated offering expenses, is approximately $54.1 million.
The Series 7 convertible preferred stock permit the holder to vote on an as-converted basis with the holders of common stock.  The holders of the Series 7 convertible preferred stock have the right to require the company to redeem their shares of preferred stock for cash at the stated value after the 6-month anniversary of issuance for a period of 90 days. The company also has the right to redeem the preferred stock after the 6-month anniversary for cash at the stated value, subject to certain conditions, and force the conversion of the preferred stock if certain price and trading conditions are met. The warrants will have an exercise price of $1.25 per share and will expire five years from the initial exercise date. If shares of preferred stock are redeemed, 75% of the warrants issued as a result of the purchase of such redeemed shares will be forfeited.
The closing of the offering is expected to occur on or about September 15, 2021, subject to the satisfaction of customary closing conditions. Additional information regarding the securities described above and the terms of the offering are included in a Current Report on Form 8-K filed with the United States Securities and Exchange Commission (“SEC”).
Maxim Group LLC is acting as the sole placement agent in connection with the offering.
The preferred stock, shares of common stock into which the preferred stock is convertible and warrants described above are being offered pursuant to a shelf registration statement on Form S-3 (333-256827), which was declared effective by the SEC on June 17, 2021.  The offering will be made only by means of a prospectus supplement that forms a part of the registration statement. Copies of the final prospectus supplement and accompanying prospectus relating to the registered direct offering may be obtained, when available, by contacting Maxim Group LLC, 300 Park Avenue, New York, NY 10022, or by telephone at (212) 895-3745.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.
About Inpixon
Inpixon® (Nasdaq: INPX) is the innovator of Indoor Intelligence™, delivering actionable insights for people, places and things. Combining the power of mapping, positioning and analytics, Inpixon helps to create smarter, safer, and more secure environments. The company’s Indoor Intelligence and mobile app solutions are leveraged by a multitude of industries to optimize operations, increase productivity, and enhance safety. Inpixon customers can take advantage of industry leading location awareness, RTLS, workplace and hybrid event solutions, analytics, sensor fusion and the IoT to create exceptional experiences and to do good with indoor data. For the latest insights, follow Inpixon on LinkedIn, Twitter, and visit inpixon.com.
Safe Harbor Statement
All statements in this release that are not based on historical fact are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. While management has based any forward-looking statements included in this release on its current expectations, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of the control of Inpixon and its subsidiaries, which could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not limited to, Inpixon’s ability to satisfy customary closing conditions related to the proposed offering, the fluctuation of economic conditions, the impact of COVID-19 on Inpixon’s results of operations, and global supply chain constraints, Inpixon’s ability to integrate the products and business from recent acquisitions into its existing business, the performance of management and employees, the regulatory landscape as it relates to privacy regulations and their applicability to Inpixon’s technology, Inpixon’s ability to maintain compliance with Nasdaq’s minimum bid price requirement and other continued listing requirements, the ability to obtain financing, competition, general economic conditions and other factors that are detailed in Inpixon’s periodic and current reports available for review at www.sec.gov. Furthermore, Inpixon operates in a highly competitive and rapidly changing environment where new and unanticipated risks may arise. Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results. Inpixon disclaims any intention to, and undertakes no obligation to, update or revise forward-looking statements.
Inpixon Contacts
Media relations and general inquiries:
Inpixon
Email: [email protected]
Web: inpixon.com/contact-us
Investor relations:
Crescendo Communications, LLC
Tel: +1 212-671-1020
Email: [email protected]
SOURCE Inpixon
Related Links
www.inpixon.

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SEC Needs New Rules for Digital Practices: Investor Advocate

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The Securities and Exchange Commission should come out with a rule aimed at digital engagement practices, according to one investor advocate.
While the regulator already has rules in place governing online brokers and robo-advisors, it’s best to come out with a rule to deal specifically with such issues as gamification and other digital engagement approaches, Stephen Hall, legal director and securities specialist at Better Markets, an investor and consumer advocacy group, said last week during the SEC’s Investor Advisory Committee meeting, according to FA-IQ sister publication Ignites.
“The SEC definitely needs to consider alternative approaches in part because it may be too difficult to determine that [digital engagement practices] are recommendations,” Hall said, according to the publication. “If the SEC cannot regulate these [digital engagement practices] simply because they are not labeled as recommendations, then digital platforms will have a de facto digital exemption.”
But Steve Shu, a panelist at the session and a managing principal at Digital Nudging Tech, a financial technology and behavioral economics consultancy, believes the SEC already has all the tools it needs to cover contemporary technology and practices, according to the publication.
Zero-commission brokerage Robinhood Financial, for example, landed in the spotlight last year after one of its users died by suicide after seeing a huge negative balance in his account as a result of trading a complex options strategy.
But the regulator could force investment platforms to require their users to pass a test before accessing complex instruments such as options trading, Shu said, according to Ignites.
SEC commissioner Hester Peirce, speaking in front of the committee, said that regulators have a tendency to overregulate new technology when they should instead use their platform to engage with investors and inform them about the technology, according to the publication.
Do you have a news tip you’d like to share with FA-IQ? Email us at [email protected].

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Skadden Lands Former SEC Lawyer, Betting on Increased Enforcement | The American Lawyer

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Skadden, Arps, Slate, Meagher & Flom’s already robust government enforcement and white-collar group added another strong player to the mix Monday, onboarding a former chief of complex financial instruments for the U.S. Securities and Exchange Commission’s enforcement division.
Daniel Michael, who was at the SEC under the Obama, Trump and Biden administrations, will be a partner in New York and will also spend significant time in the firm’s Washington, D.C., office. Skadden anticipates continued and increased need for advice around ever-evolving financial regulatory and enforcement matters.

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Kandi Receives Final Payment from Fengsheng Sale

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JINHUA, CHINA, Sept. 13, 2021 (GLOBE NEWSWIRE) — Kandi Technologies Group, Inc. (the “Company,” “we” or “Kandi”) (NASDAQ GS: KNDI), today announced that it received the final payment from the sale of its 22% equity in Fengsheng Automotive Technologies Group Co., Ltd. back to Geely.
According to the Equity Transfer Agreement, Kandi sold back its interest for RMB 308 million (approximately $47.3 million).  Kandi received 50% of the amount after the sale was approved by local Zhejiang provincial authorities and the second 50% installment within six months as stipulated in the agreement.
Mr. Hu Xiaoming, Chairman and Chief Executive Officer of Kandi, commented, “Receipt of this final payment on time adds to our substantial cash position, enabling us to pursue strategic market opportunities as they arise. In addition to the cash infusion, the exit from Fengsheng improves our flexibility to embrace opportunities up and down the supply chain without concerns about competitive conflicts.  We are increasingly optimistic about our prospects, given our financial and technological strengths.”

About Kandi Technologies Group, Inc.
Kandi Technologies Group, Inc. (KNDI), headquartered in Jinhua Economic Development Zone, Zhejiang Province, is engaged in the research, development, manufacturing, and sales of various vehicular products. Kandi conducts its primary business operations through its wholly-owned subsidiary, Zhejiang Kandi Technologies Group Co., Ltd. (“Zhejiang Kandi Technologies”), formerly, Zhejiang Kandi Vehicles Co., Ltd.) and its subsidiaries including Zhejiang Kandi Smart Battery Swap Technology Co., Ltd, and SC Autosports, LLC (d/b/a Kandi America), the wholly-owned subsidiary of Kandi in the United States, and its wholly-owned subsidiary, Kandi America Investment, LLC. Zhejiang Kandi Technologies has established itself as one of China’s leading manufacturers of pure electric vehicle parts and off-road vehicles.
Safe Harbor Statement

This press release contains certain statements that may include “forward-looking statements.” All statements other than statements of historical fact included herein are “forward-looking statements.” These forward-looking statements are often identified by the use of forward-looking terminology such as “believes,” “expects” or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the risk factors discussed in the Company’s periodic reports that are filed with the Securities and Exchange Commission and available on the SEC’s website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.
Follow us on Twitter:  @ Kandi—Group 
Contacts:
Kandi Technologies Group, Inc. Ms. Kewa Luo +1 (212) 551-3610 [email protected]
The Blueshirt Group Mr. Gary Dvorchak, CFA gary@blueshirtgroup.

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New York Community Bank Provides Real-Time Payment Processing Utilizing The Provenance Blockchain For Figure Technologies Inc. Secondary Trading

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HICKSVILLE, N.Y. and SAN FRANCISCO, CA, Sept. 13, 2021 /PRNewswire/ — New York Community Bancorp, Inc. (NYSE: NYCB) (the “Company”) today announced that its banking subsidiary, New York Community Bank (the “Bank”), successfully completed a groundbreaking digital payment process through the creation of a blockchain-based digital marker, allowing Figure Technologies, Inc. (“Figure” or “FTI”) to conduct real-time secondary trading in digital shares of its stock utilizing Figure ATS, an alternative trading system registered with the U.S. Securities and Exchange Commission (“SEC”), that operates on the Provenance Blockchain.(PRNewsfoto/New York Community Bancorp, Inc.)The Bank served as the financial intermediary between buyers and sellers of FTI digital shares by facilitating the payment process through the minting of a new digital marker, USDForward (“USDF”), the first to be used by a bank on the Provenance Blockchain. The initial set of transactions by the Bank validates the functionality of the Bank’s digital marker payment platform as an important Provenance Blockchain decentralized finance (“DeFi”) tool, supporting the Bank’s plans to move forward with additional digital marker transactions and Figure’s plans for expanding the DeFi ecosystem.Commenting on the collaboration, the Company’s Chairman, President, and Chief Executive Officer, Thomas R. Cangemi stated, “I am extremely pleased with our inaugural transaction with Figure Technologies. The Bank’s digital marker program, coupled with Figure’s secondary trading platform, is a giant step forward in our recently announced partnership and a very positive beginning for what we expect our collaboration with Figure will produce in the future. The successful completion of our initial use case transactions represents an important milestone for NYCB as we implement our digital strategy.”The Figure secondary trades using the Bank’s digital marker represented the first transactions on the Figure ATS, which enables trading without the need for traditional intermediaries, and where settlement occurs in real-time vs. T+2 or longer on traditional exchanges. Secondary trading on the Figure ATS and the use of the Bank’s digital marker involves onboarding all counterparties through the Bank’s enhanced AML/KYC compliance process, with the Bank programmatically creating the USDF digital marker for use by its customers. In the initial use case, the USDF digital marker references fiat currency to facilitate real-time, bilateral settlement of trades and other transactions on the Provenance Blockchain. All of the trading conducted on the Figure ATS is done in compliance with applicable SEC rules and regulations.Story continues”This is the first of a series of groundbreaking transactions we plan on doing with New York Community Bank,” said Mike Cagney, CEO of Figure. “New York Community Bank’s digital marker and Figure ATS together demonstrate the remarkable possibilities for private company stock trading and settlement in real-time without counterparty or settlement risk, and is a harbinger of the significant disruption blockchain is bringing to global exchanges, including public equity markets.”Looking ahead, the Bank plans to participate, including as a consultant, in the development of the USDF Consortium, a syndicate of banks being organized in accordance with anti-trust law, by JAM FINTOP and the Provenance Blockchain Foundation, that will operate under a common set of compliance standards to engage customers and mint USDF digital markers for use in a broad variety of DeFi transactions. The Bank is working with the Consortium organizers to ensure that its compliance standards satisfy applicable regulatory requirements. Regulated depository institutions seeking to join the Consortium can find additional information at its website, www.usdfconsortium.com.About New York Community Bancorp, Inc.Based in Hicksville, NY, New York Community Bancorp, Inc. is a leading producer of multi-family loans on non-luxury, rent-regulated apartment buildings in New York City, and the parent of New York Community Bank. At June 30, 2021, the Company reported assets of $57.5 billion, loans of $43.6 billion, deposits of $34.2 billion, and stockholders’ equity of $6.9 billion.Reflecting our growth through a series of acquisitions, the Company operates 236 branches through eight local divisions, each with a history of service and strength: Queens County Savings Bank, Roslyn Savings Bank, Richmond County Savings Bank, Roosevelt Savings Bank, and Atlantic Bank in New York; Garden State Community Bank in New Jersey; Ohio Savings Bank in Ohio; and AmTrust Bank in Florida and Arizona.On April 26, 2021, the Company announced that it entered into a definitive merger agreement to acquire Flagstar Bancorp, Inc. The transaction was approved by both sets of shareholders on August 4, 2021 and is expected to close during the fourth quarter, subject to the satisfaction of certain closing conditions and the receipt of all necessary regulatory approvals. Upon closing, the combined company will have $85 billion in total assets, operate nearly 400 traditional branches across nine states, and 86 retail lending offices across a 28 state footprint. It will also have significant scale in several lines of business, including residential lending, mortgage servicing, mortgage warehouse, and multi-family lending.About FigureFigure is transforming financial services through blockchain, bringing speed, efficiency and savings to both consumers and institutions. Figure continues to unveil a series of fintech firsts across the capital markets, investment management, and banking and payments sectors. Figure leverages Provenance Blockchain for loan origination, servicing, financing, cap table management, and private fund services. The company was founded in 2018 by serial technology entrepreneur Mike Cagney, who also founded SoFi and built the company into a multi-billion-dollar business under his leadership as CEO. Learn more at www.figure.com.About JAM FINTOPJAM FINTOP is a joint venture between JAM Special Opportunity Ventures (“JSOV”) and FINTOP Capital. The partnership brings together bank experts and seasoned fintech entrepreneurs to invest in companies changing the way financial institutions and their customers move, track, and interact with money. Jacobs Asset Management, an affiliate of JSOV, has a 26-year history investing in public and private community banks, and FINTOP Capital is a leading fintech investor with over 140 years of collective experience.JAM FINTOP Banktech raised $150 million in April 2021 to help accelerate technology adoption at community banks across the United States. Uniquely, all 66 of the fund’s limited partners are community banks. The $600+ billion of combined assets of the fund’s limited partners would rank as the fifth largest bank in the nation. JAM FINTOP’s second fund, JAM FINTOP Blockchain, will make investments in blockchain infrastructure, on-ramps and businesses. With Figure and NYCB as lead investors, it is currently being marketed to Qualified Purchasers. For more information visit www.jamfintop.com.About Provenance Blockchain FoundationProvenance Blockchain Foundation supports the Provenance Blockchain and its participants through research and development, education and governance. Additional information about the Provenance Blockchain Foundation is available at www.provenance.io.Cautionary Statements Regarding Forward-Looking InformationCertain statements in this press release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to NYCB’s beliefs, goals, intentions, and expectations regarding revenues, earnings, loan production, asset quality, capital levels, investments, strategic relationships, and acquisitions, among other matters; NYCB’s estimates of future costs and benefits of the actions NYCB and each counterparty to a pending transaction may take; NYCB’s assessments of probable losses on loans; NYCB’s assessments of interest rate and other market risks; and NYCB’s ability to achieve its financial and other strategic goals, including those related to the pending merger with Flagstar Bancorp and the strategic relationship and transactions with Figure Technologies, Inc..Forward-looking statements are typically identified by such words as “believe,” “expect,” “plan,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “project,” “should,” and other similar words and expressions, and are subject to numerous assumptions, risks, and uncertainties, which change over time.These forward-looking statements include, without limitation, those relating to the strategic relationship and transactions with Figure Technologies, Inc. and the plan to expand the availability of the USDF digital marker. Additionally, forward-looking statements speak only as of the date they are made; NYCB does not assume any duty, and does not undertake, to update such forward-looking statements. Furthermore, because forward-looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those indicated in such forward-looking statements as a result of a variety of factors, many of which are beyond the control of NYCB. The factors that could cause actual results to differ materially include the following: the occurrence of any event, change or other circumstances that could give rise to the right of any of the parties to pending transactions to terminate the agreements governing such transactions; the outcome of any legal proceedings that may be instituted against NYCB or any other party to the transactions; the possibility that the transactions will not close or contemplated strategies will not be executed when expected or at all because required regulatory or other approvals are not received or other conditions to the closings are not satisfied on a timely basis or at all, or are obtained subject to conditions that are not anticipated; the possibility that the anticipated benefits of the proposed transactions will not be realized when expected or at all; diversion of management’s attention from ongoing business operations and opportunities; the possibility that NYCB may be unable to achieve expected synergies and operating efficiencies in or as a result of the proposed transactions within the expected timeframes or at all; revenues following the proposed transactions may be lower than expected; and the other factors discussed in the “Risk Factors” section of NYCB’s Annual Report on Form 10-K for the year ended December 31, 2020, the “Risk Factors” section in NYCB’s Quarterly Report on Form 10-Q for the period ended June 30, 2021, and in other reports NYCB files with the U.S. Securities and Exchange Commission (the “SEC”), which are available at http://www.sec.gov and in the “SEC Filings” section of NYCB’s website, https://ir.mynycb.com, under the heading “Financial Information.”Investor/Media Contact: Salvatore J. DiMartino (516) 683-4286 CisionView original content to download multimedia:https://www.prnewswire.com/news-releases/new-york-community-bank-provides-real-time-payment-processing-utilizing-the-provenance-blockchain-for-figure-technologies-inc-secondary-trading-301374886.htmlSOURCE New York Community Bancorp, Inc.

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Twist Bioscience Collaborates with Adicet Bio to Accelerate Discovery of Gamma Delta T Cell Cancer Therapeutics

Posted on by Trading Scam News Editor

SOUTH SAN FRANCISCO, Calif. & MENLO PARK, Calif. & BOSTON–(BUSINESS WIRE)–Sep 13, 2021–
Twist Bioscience Corporation (NASDAQ: TWST), a company enabling customers to succeed through its offering of high-quality synthetic DNA using its silicon platform, and Adicet Bio, Inc. (Nasdaq: ACET), a biotechnology company discovering and developing first-in-class allogeneic gamma delta T cell therapies for cancer and other diseases, today announced a collaboration to accelerate the discovery of gamma delta T cell therapies against five undisclosed targets. The companies will work together to engineer immune cells with fully human chimeric antigen receptors (CARs) and T-cell receptors (TCRs) directed to disease-specific cell surface antigens. This precise and targeted engagement is designed to provide a superior potential to facilitate recognition and killing of tumor cells.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210913005263/en/

Under the terms of the collaboration, Twist will leverage its proprietary single chain fragment variable (scFv) and VHH (nanobody) technologies from its Library of Libraries to discover unique target-specific binders. These targeting technologies will enable Adicet Bio’s engineering and discovery of unique CARs used in the generation of novel gamma delta CAR T cell products. Twist will receive an upfront technology license fee for each program as well as clinical and regulatory milestones and royalties for any product resulting from the selected targets.
“We are excited to leverage Twist’s proprietary antibody discovery capabilities to potentially rapidly identify and optimize unique antibodies against key targets to further enhance our pipeline, both in cancer and other diseases,” said Chen Schor, President and Chief Executive Officer of Adicet. “We’ve selected five key targets where we believe our expertise in gamma delta T cell therapies could be augmented with Twist’s ability to identify highly potent, specific antibodies and look forward to a robust partnership.”
“There is huge potential in using gamma delta T cells for the treatment of a wide range of cancers, and Adicet is leading the development in this field,” commented Emily M. Leproust, Ph.D., CEO and co-founder of Twist Bioscience. “We look forward to partnering with Adicet to translate these target-engagement technologies into next-generation off-the-shelf, CAR-T therapies and to potentially accelerate the treatment of patients with cancer.”
About Adicet Bio
Adicet Bio, Inc. is a biotechnology company discovering and developing allogeneic gamma delta T cell therapies for cancer and other diseases. Adicet is advancing a pipeline of “off-the-shelf” gamma delta T cells, engineered with chimeric antigen receptors and T cell receptor-like antibodies to enhance selective tumor targeting, facilitate innate and adaptive anti-tumor immune response, and improve persistence for durable activity in patients. For more information, please visit our website at http://www.adicetbio.com.
Forward-Looking Statements – Adicet Bio
This press release contains “forward-looking statements” of Adicet within the meaning of the Private Securities Litigation Reform Act of 1995 relating to business and operations of Adicet including, but not limited to, express or implied statements regarding the potential benefits resulting from the collaboration with Twist to our business or strategy, including our ability to rapidly identify and optimize unique antibodies and related target-engagement technologies to facilitate our CAR pipeline, the payment of upfront license fees and potential milestone and royalty payments under the collaboration, the expected potential therapeutic effects of Adicet’s product candidates, and expectations regarding the timing and success of preclinical and clinical development of Adicet’s product candidates, including in connection with the collaboration. Any forward-looking statements in this press release are based on management’s current expectations and beliefs of future events, and are subject to a number of risks and uncertainties that could cause actual results to differ materially and adversely from those set forth in or implied by such forward-looking statements, including without limitation, the effect of COVID-19 on Adicet’s business and financial results, including with respect to disruptions to its clinical trials and business operations; future clinical studies may fail to demonstrate adequate safety and efficacy of our product candidates, which would prevent, delay, or limit the scope of regulatory approval and commercialization; regulatory approval processes of the FDA and comparable foreign regulatory authorities are lengthy, time-consuming, and inherently unpredictable; as well as those risks and uncertainties set forth in Adicet’s most recent annual report on Form 10-K and subsequent filings with the Securities and Exchange Commission (SEC). For a discussion of these and other risks and uncertainties, and other important factors, any of which could cause Adicet’s actual results to differ from those contained in the forward-looking statements, see the section entitled “Risk Factors” in Adicet’s most recent annual report on Form 10-K and periodic reports on Form 10-Q and Form 8-K filed with the SEC, as well as discussions of potential risks, uncertainties, and other important factors in Adicet’s other filings with the SEC. All information in this press release is as of the date of the release, and Adicet undertakes no duty to update this information unless required by law.
About Twist Bioscience Corporation
Twist Bioscience is a leading and rapidly growing synthetic biology and genomics company that has developed a disruptive DNA synthesis platform to industrialize the engineering of biology. The core of the platform is a proprietary technology that pioneers a new method of manufacturing synthetic DNA by “writing” DNA on a silicon chip. Twist is leveraging its unique technology to manufacture a broad range of synthetic DNA-based products, including synthetic genes, tools for next-generation sequencing (NGS) preparation, and antibody libraries for drug discovery and development. Twist is also pursuing longer-term opportunities in digital data storage in DNA and biologics drug discovery. Twist makes products for use across many industries including healthcare, industrial chemicals, agriculture and academic research.
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Legal Notice Regarding Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts contained herein, including but not limited to the ability of the collaboration to accelerate the discovery of gamma delta T cell therapies, are forward-looking statements reflecting the current beliefs and expectations of management made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other important factors that may cause Twist Bioscience’s actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the risks and uncertainties of the ability to attract new customers and retain and grow sales from existing customers; risks and uncertainties of rapidly changing technologies and extensive competition in synthetic biology could make the products Twist Bioscience is developing obsolete or non-competitive; the retention of employees of acquired companies and the ability of Twist Bioscience to successfully integrate acquired companies and to achieve expected benefits, risks of third party claims alleging infringement of patents and proprietary rights or seeking to invalidate Twist Bioscience’s patents or proprietary rights; and the risk that Twist Bioscience’s proprietary rights may be insufficient to protect its technologies. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to Twist Bioscience’s business in general, see Twist Bioscience’s risk factors set forth in Twist Bioscience’s Quarterly Report Form 10-Q filed with the Securities and Exchange Commission on August 9, 2021 and subsequent filings with the SEC. Any forward-looking statements contained in this press release speak only as of the date hereof, and Twist Bioscience specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.
View source version on businesswire.com:https://www.businesswire.com/news/home/20210913005263/en/

CONTACT: For Twist Bioscience
Angela Bitting
SVP, Corporate Affairs
925- 202-6211
[email protected] For Adicet Bio, Inc.:
Anne Bowdidge
[email protected]
Janhavi Mohite
Stern Investor Relations, Inc.
212-362-1200
KEYWORD: CALIFORNIA MASSACHUSETTS UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: BIOTECHNOLOGY HEALTH GENETICS PHARMACEUTICAL ONCOLOGY
SOURCE: Twist Bioscience Corporation and Adicet Bio
Copyright Business Wire 2021.
PUB: 09/13/2021 08:00 AM/DISC: 09/13/2021 08:06 AM
http://www.businesswire.

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Vroom Announces Appointment of New Chief Financial Officer Robert R. Krakowiak Appointed as Chief Financial Officer of Vroom

Posted on by Trading Scam News Editor

NEW YORK–(BUSINESS WIRE)–Sep 13, 2021–
Vroom, Inc. (Nasdaq:VRM), a leading ecommerce platform for buying and selling used vehicles (the “Company”), today announced the appointment of Robert R. Krakowiak as Chief Financial Officer, effective today. He succeeds David K. Jones, who previously served as Chief Financial Officer and will remain as a non-executive employee of the Company through November 30, 2021 in order to ensure a seamless transition.
Mr. Krakowiak previously served as Chief Financial Officer of Stoneridge Corporation for more than five years. Prior to his time at Stoneridge, he held diverse roles in finance and investor relations at Visteon Corporation and Owens Corning. He received bachelor’s and master’s degrees in Electrical Engineering from the University of Michigan and an MBA from the University of Chicago.

In Mr. Krakowiak’s role as Chief Financial Officer, he will oversee financial reporting, accounting, tax, treasury, risk management and financial planning and analysis, as well as leading investor relations.
Paul J. Hennessy, the Company’s Chief Executive Officer, commented, “Bob has a proven track record of results-driven leadership, strategic thinking and financial acumen. We look forward to benefiting from his leadership and expertise as we continue to execute on our plan, scale our operations and pursue our path to profitability. I am delighted to welcome Bob to the Vroom team.”
“During his tenure at Vroom, Dave has overseen significant growth and transformation, including leading the Company through its IPO, subsequent securities offerings and the CarStory acquisition; I want to thank him for his meaningful contributions to the Company. He also built a dedicated and talented finance and accounting team that is extremely well positioned to continue transforming the business and delivering on our objectives. We wish Dave all the best in his future endeavors,” Mr. Hennessy added.
“I am excited to step into the CFO role at Vroom and continue to help the Company execute its strategic plan, accelerate its growth and deliver value for its shareholders. I look forward to partnering with the entire Vroom team to build on the Company’s strong momentum and business fundamentals,” said Mr. Krakowiak.
About Vroom Inc.:
Vroom is an innovative, end-to-end ecommerce platform designed to offer a better way to buy and a better way to sell used cars. The Company’s scalable, data-driven technology brings all phases of the car buying and selling process to consumers wherever they are and offers an extensive selection of used cars, transparent pricing, competitive financing, and at-home pick-up and delivery. Vroom is based in New York and Houston and also operates the Texas Direct Auto and CarStory brands.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements. These statements are based on management’s current assumptions and are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. For factors that could cause actual results to differ materially from the forward-looking statements in this press release, please see the risks and uncertainties identified under the heading “Risk Factors” in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2021 filed with the U.S. Securities and Exchange Commission (the “SEC”) and our Annual Report on Form 10-K for the year ended December 31, 2021 filed with the SEC, as such factors may be updated from time to time in our other filings with the SEC, which are accessible on the SEC website at www.sec.gov. All forward-looking statements reflect our beliefs and assumptions only as of the date of this press release. Vroom undertakes no obligation to update forward-looking statements to reflect future events or circumstances.
View source version on businesswire.com:https://www.businesswire.com/news/home/20210913005273/en/
CONTACT: Investor Relations:

Vroom
Allen Miller
[email protected] Contact:
Moxie Communications Group
Alyssa Galella
[email protected]
KEYWORD: UNITED STATES NORTH AMERICA TEXAS NEW YORK
INDUSTRY KEYWORD: TECHNOLOGY AUTOMOTIVE GENERAL AUTOMOTIVE OTHER RETAIL OTHER AUTOMOTIVE SOFTWARE INTERNET RETAIL ONLINE RETAIL
SOURCE: Vroom, Inc.
Copyright Business Wire 2021.
PUB: 09/13/2021 08:00 AM/DISC: 09/13/2021 08:06 AM
http://www.businesswire.

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Gary Gensler on Crypto, SPACs, and Robinhood

Posted on by Trading Scam News Editor

Gary Gensler, the new chair of the SEC.
Photo: Kayana Szymczak/The New York Times/Redux

When financial regulators demonstrate that they hold generous views of bitcoin — that, contrary to the prevailing mood in Washington, they believe digital currencies could be more than a conduit for laundering money and buying fentanyl online — the crypto faithful honor them with affectionate nicknames. J. Christopher Giancarlo, who, as chairman of the Commodity Futures Trading Commission, green-lit bitcoin derivatives, became Crypto Dad. At the Securities and Exchange Commission, the libertarian-leaning Hester Peirce got tagged Crypto Mom, and her colleague Valerie Szczepanik is the Crypto Czar. In January, upon the news that the Biden administration wanted the SEC to be chaired by Gary Gensler, a Goldman Sachs alum turned regulator who had taught blockchain and crypto courses at MIT for years, a similar term of endearment seemed imminent. Professor Crypto, perhaps?

Before long, though, Gensler shattered any illusions that the crypto industry had one of its own as the top cop on Wall Street. “This asset class is rife with fraud, scams, and abuse,” he said in a scathing speech comparing the digital-coin realm to the “Wild West.” Five months into Gensler’s tenure, Wall Street veterans and bitcoin outsiders alike are still trying to figure out where he stands. (“Some really sketchy behavior coming out of the SEC recently,” Coinbase CEO Brian Armstrong carped on Twitter last week after a dispute over regulating a new product.) Recently, when I pointed out this dissonance to Gensler — that he had gone from finding crypto fascinating in the lecture hall to scary in the real world — I accidentally doubled his cowboy cliché. He quickly corrected me. “I used one ‘Wild!’ ” he said. “I used one!”

Gensler, 63, was sitting at a computer in front of a paned glass door and, beyond it, a verdant, tree-lined yard. For weeks, SEC staff have had the option of going into the office, but Gensler is content to work remotely. After losing his wife of two decades to cancer 15 years ago, he’s dating again; he was Zooming in from his girlfriend’s house, though he declined to say where it is. Following a stint in the Treasury Department during the Clinton era, and before serving as head of the CFTC under Obama, Gensler spent the last years of his wife’s life as a “stay-at-home dad” to their three daughters, and he still carries that vibe. “During ’01 to ’07,” he says, “I was pretty much off the grid.”

Gensler is a traditionalist in the sense that he believes the laws currently governing the market, which date back to the Great Depression, are sufficient to handle modern inventions like bitcoin. There’s no need to rewrite the rules: The crypto exchanges should register with the government, regulators can decide whether various digital coins are actually securities (like stocks) by applying the historic standard known as the Howey Test, and discourse on Reddit isn’t so different from the early days of radio. He enjoys making references to antiquity.

In other ways, Gensler fashions himself a progressive. He’s the first SEC chief to fully reject the “chairman” title in favor of the gender-neutral “chair.” (Mary Schapiro, the agency’s first female head, is still listed as chairman in her official bio.) He had his team contact The Wall Street Journal to ask for a correction when it used the old title, which the paper refused to make on grounds of editorial style. Gensler also resolutely refers to Satoshi Nakamoto, the unknown creator or creators of bitcoin, as “she” — as well as “Nakamoto-san,” out of reverence for the innovation. He has decidedly less fondness for some of the newer market trends being pushed to amateur investors, whether they be Robinhood’s so-called commission-free trading or special-purpose acquisition companies, better known as SPACs.

You were nominated at close to the height of meme-stock mania, when it looked as if the markets had gone totally nuts. What were you thinking as you waited to get confirmed?I was thinking of it in terms of regular investors. Neither of my parents went to college, and I’m deeply a markets person; I don’t know what it is. My dad had a small business serving the bars of Baltimore — cigarettes, pinball tables, jukeboxes. He would toss us Value Line tear sheets when I was in middle school and say, “What do you think?” He never had much money, but he might buy 50 shares of something. So I thought of it in January as I think of it now — How is it playing out for retail investors?

The orders that we put in on a digital app by and large don’t go to stock ex-changes like NASDAQ and NYSE. They go to wholesalers; some people just call it the “dark pools.” And so a lot of our markets are not lit. We don’t have that order competition that can drive efficiency in a market. There’s somebody paying for the order flow. That’s not necessarily the best flow for us.

One defense of payment for order flow is that it lets brokerages offer free trading that in turn democratizes investing.Can I just say something? It’s not “free.” It’s a misnomer. It is not free, and it costs everybody who goes on those platforms. Because the platform is doing multiple things: One, they’re selling your order flow. Two, they’re collecting data, and the person paying for the order flow is getting that data. There’s an inherent conflict because your order — your buy or sell order — is not necessarily competing in the market. So it is anything but free.

Is there anything that bothers you about the way that Reddit, social media, and trading apps are shaping how people buy and sell stocks?I think of a few things. Are people able to buy and sell at the lowest cost and get fast execution when they send an order to the market? With nearly half of it in the dark market or dark pools and the like, I do question that. Second, there was a moment in January when a lot of brokerage applications shut off retail investors. Now they say they did it based on their user agreement and that they were getting inundated with trading and needed to post margin at the clearinghouses. It’s a little bit in the plumbing, but what we’re looking at is shortening the settlement cycles from two days to one day. That can lower some of those risks. A third thing I think about is the potential conflict in digital engagement. The apps are trying to maximize their business model — trying to maximize payment for order flow and trading. And yet economic studies show that the more you trade, generally, the lower your returns.

We’ve seen leagues of purported retail investors band together to trade stocks. Do you consider this market manipulation? It seemed as if they were investing irrationally — particularly when company valuations were way out of whack with their actual business.In the markets, since antiquity, investors have taken risks, and there’s a bit of the “mood of the crowd” that occurs and some people say it’s about fear and greed and so forth. But our basic bargain from the 1930s on has been that investors get to decide. You mentioned social media. We have had, for decades, new forms of communication. Roosevelt and the radio; by the 1960s, it’s television; by the 1990s, it’s the internet. The forums may change, but the basic bargain is still the same. Investors get to talk and debate, whether it’s on Reddit or elsewhere. The policies are the same: not to defraud the public, whether that’s a large institution, a hedge fund, or an individual. And the individual can be a billionaire or somebody just scraping together a few hundred bucks to trade, whether they’re long a market or short a market.

I’ve noticed that in your lectures, you have a habit of asking people who they think Satoshi Nakamoto is, and I was wondering: Who do you think it is?Right, Jen. So who’s Satoshi Nakamoto? Who is she?

Let me ask you first.No, I’m asking you!

I’ve seen a good argument that Nakamoto is no longer alive and that they may have been Hal Finney, the software engineer. Do you have a theory?No, I don’t. I do think that whoever she was, or they, Nakamoto-san solved a couple of riddles — like double spending and how to ensure you can move value on the internet and not do it multiple times.

The challenge we’re at now, years later, is that thousands of projects have started that haven’t really lived within an investor-protection machine. There are not brokers that stand between us and those markets where we open an account. And the other thing that most people wouldn’t know is this: If you open an account on a crypto exchange or you go to a lending platform, you actually do not own bitcoin or another cryptocurrency. You do not own it. You just have a relationship with that exchange, where you’re a counterparty. It’s a little bit like if you have a Starbucks wallet on your phone. You don’t actually have the dollars underlying that, or the cup of coffee underlying it — you have a creditor relationship with Starbucks. And here you’re just a creditor of that crypto exchange. They may or may not even have the crypto. There are hundreds of exchanges; many have gone out of business because they were either hacked or were outright frauds or scams. The big ones now have trading on 50 or 200 tokens, and probabilities are such that many of those tokens are securities or investment contracts under our laws. It would be far better if some of these platforms came in and actually registered as to what they are.

You’d like to see more of that.Those trading and lending platforms, whether they’re called centralized or decentralized, there’s still an operator and something central. The “decentralized” ones — they’re not that decentralized, actually. It’s not just software. There is somebody there who has designed an incentive system, a business model, earning fees, has a governance token, and is setting up the protocol in the middle.

I’m sorry to remind people: We had peer-to-peer lending, and the companies that did it said, “Well, it’s just Aisha lending to Scott.” No. There was a company in the middle. They also started to say, “We’ll take your pool of money and we’ll lend it to people.” And then we brought that activity into the securities laws.

I think that registration is a way to bring a lot of the market into the public-policy framework, into the investor-protection framework, the anti-money-laundering and tax-compliance framework.

Is the decentralization of crypto — or the decentralization that crypto aspires to — inherently in conflict with the SEC’s mission to regulate?There’s a range of market structures that can work, but they work best when they’re in some regulatory perimeter. I happen to think a lot of economics shows that transparency works better for investors and issuers than darkness. Central clearing can lower the risks of the market and enhance competition in many cases. When you say “decentralization” — markets over centuries tend toward some centralization. In antiquity, you’d bring the apples or rice or grains into the central market square. It’s where the wholesalers meet and haggle. I don’t think it’s a surprise that that’s where you get the most transparency.

Under your predecessor, Jay Clayton, the SEC charged the blockchain payments company Ripple with engaging in an illegal securities offering. How will your SEC decide which cryptocurrencies ought to be subject to greater scrutiny?Jay Clayton said it pretty well in February 2018 in congressional testimony — that he hadn’t seen a token yet that didn’t pass the Howey Test. In 1933, Congress included a definition of security that was pretty inclusive, and the Supreme Court has reaffirmed it multiple times.

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IT Tech Packaging, Inc. to Hold Annual Meeting of Stockholders on November 12, 2021

Posted on by Trading Scam News Editor

BAODING, China, Sept. 13, 2021 /PRNewswire/ — IT Tech Packaging, Inc. (NYSE American: ITP) (“IT Tech Packaging” or the “Company”), a leading manufacturer and distributor of diversified paper products in North China, today announced that it has filed a preliminary proxy statement for its 2021 annual meeting of stockholders and expects to hold its 2021 annual meeting of stockholders on November 12, 2021 at its production base in Wei County, Hebei Province, China.
When:              10:00am Beijing Time, November 12, 2021
                         (9:00pm ET, November 11, 2021)
Where:             Wei County Production Base, IT Tech Packaging, Inc.
                         Wei County, Hebei Province, China, 054700
As fully discussed in the preliminary proxy statement described below, the stockholders will be asked to consider and vote upon the following proposals at the annual meeting:

Election of two Class I directors (Marco Ku Hon Wai and Wenbing Christopher Wang) to serve on the Board of Directors of the Company, with such Class I directors to serve until the 2023 Annual Meeting of Stockholders and until their respective successors have been duly elected and qualified or until his or her earlier resignation, removal or death;
Ratification of the appointment of WWC, P.C. Certified Public Accountants as the Company’s independent registered public accounting firm for the fiscal year ending December 31, 2021;
Approval of the adoption of the IT Tech Packing, Inc. 2021 Omnibus Equity Incentive Plan (the “2021 Plan”)
Such other matters as may properly come before the meeting or any adjournment or adjournments thereof.

Stockholders of record at the close of business on September 20, 2021 are entitled to receive notice and vote at the annual meeting.
Additional Information
In connection with the annual meeting, the Company filed with the Securities and Exchange Commission (the “SEC”) on September 10, 2021, a preliminary proxy statement, which is publicly available, and will file with the SEC a definitive proxy statement on or about September 20, 2021 and mail a definitive proxy statement to stockholders on or about September 27, 2021. INVESTORS AND STOCKHOLDERS ARE URGED TO READ CAREFULLY AND IN THEIR ENTIRETY THE PROXY STATEMENT AND OTHER MATERIALS FILED WITH THE SEC IN CONNECTION WITH THE ANNUAL MEETING, AS THEY CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY AND THE PROPOSALS. Upon filing of the definitive proxy statement, stockholders may access the Company’s definitive proxy statement, without charge, at the SEC’s website www.sec.gov. Upon written request to Ms. Sarah Shi, Secretary, IT Tech Packaging, Inc., Science Park, Juli Road, Xushui District, Baoding City, Hebei Province, People’s Republic of China 072550, we will provide without charge to each person requesting, a copy of our 2020 Annual Report, including the financial statements filed therewith. We will furnish a requesting stockholder with any exhibit not contained therein upon specific request. In addition, the definitive proxy statement, as well as our 2020 Annual Report, will be available on our Internet website at www.itpackaging.cn .
If you have questions about the annual meeting or require assistance in submitting your proxy or voting your shares, please contact the Company’s proxy solicitor:
ADVANTAGE PROXY, INC.
Toll Free in North America: 1-877-870-8565
Collect: 1-206-870-8565
Email:  [email protected]
About IT Tech Packaging, Inc.
Founded in 1996, IT Tech Packaging, Inc. is a leading manufacturer and distributor of diversified paper products in North China. Using recycled paper as its primary raw material (with the exception of its tissue paper products), ITP produces and distributes three categories of paper products: corrugating medium paper, offset printing paper and tissue paper products. With production based in Baoding and Xingtai in North China’s Hebei Province, ITP is located strategically close to the Beijing and Tianjin region, home to a growing base of industrial and manufacturing activities and one of the largest markets for paper products consumption in the country. ITP has been listed on the NYSE American since December 2009. For more information, please visit: www.itpackaging.cn.
Safe Harbor Statements
This press release may contain forward-looking statements. These forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks outlined in the Company’s public filings with the Securities and Exchange Commission, including the Company’s latest annual report on Form 10-K. All information provided in this press release speaks as of the date hereof. Except as otherwise required by law, the Company undertakes no obligation to update or revise its forward-looking statements.
For more information, please contact:
At the Company Email: [email protected]
Tel: +86 0312 8698215
Investor Relations:
Janice Wang
EverGreen Consulting Inc.
Email: [email protected]
Phone: +1 571-464-9470 (from U.S.) 
+86 13811768559 (from China)
SOURCE IT Tech Packaging, Inc.

Related Links
http://www.itpackaging.

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