The value of the immovable IMX token on Ethereum fell sharply late Thursday after the crypto gaming firm disclosed that it had received a letter from the US Securities and Exchange Commission (SEC).
IMX fell 14% on the day to the current price of $1.15, CoinGecko data, including a sudden dip from $1.29 to $1.19 less than two hours after the announcement of Immutable on Thursday afternoon.
Immutable has received a letter from the SEC about an impending warning by the regulator that the Australian company believes is linked to the sale of IMX tokens in 2021, which the agency says is an unregistered sale of securities.
Although the SEC claims that tokens in the industry are securities, we are confident that the IMX token is not, an Immovable spokesperson said on Thursday. “The notice simply cites statutory provisions and contains a list of limited meaning.”
The SEC declined to confirm details when reached by Decrypt on Thursday, saying it “does not comment on the existence or non-existence of a possible investigation.”
The Immutable Gaming Platform spans two ethereum skating networks – Immutable X and Immutable zkEVM – that simultaneously host hundreds of game projects at one stage of development. Immortal itself has produced titles such as Gods Unchained and Guild of Guardians, and other popular games on the platform include Eluvium, Ember Sword and Crossed Ages.
Invariable described the SEC action as “overreaching,” echoing comments from other companies targeted by the U.S. regulator, including Coinbase, OpenSea, Crypto.com and Uniswap Labs.
The IMX token has been flying high this spring around crypto gaming projects and their tokens, hitting a price of nearly $3.64 – the highest price seen since January 2022. But IMX is down 68% since then. Top crypto game tokens, and down 88% from 2021 all-time high of $9.52.
GG newspaper
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