SEC Charges Broker For Not Using Ethereum Smart Contracts

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The Securities and Exchanges Commission (SEC) has charged Michael Barry Carter for effectively not using ethereum based smart contracts. He apparently just stole some of the funds clients entrusted with the broker which is unnamed but SEC says Carter is a financial advisor in the McLean, Virginia office of a large financial institution. Had these funds been deposited in an ethereum smart contract instead, then Carter or anyone else would have not been able to just steal them as the code rules must be followed. They says he “falsified internal documents in order to effect dozens of unauthorized wire transfers, totaling millions of dollars, from the accounts of brokerage customers to his personal bank account. According to the complaint, to generate some of the funds that he misappropriated, Carter sold securities without customer authorization… The complaint further alleges that Carter made almost $1.5 million in unauthorized transfers from the accounts…

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