The US SEC has begun returning more than $4.6 million to investors in the defunct blockchain project BitClave

Nearly two years after announcing plans to repay funds to investors in failed blockchain project BitClave, the agency is “mailing checks,” according to an official SEC announcement. The defunct startup BitClave previously agreed to repay all the funds it raised and pay a $4.6 million fine to resolve the SEC’s 2017 lawsuit against the unregistered ICO. The SEC sued BitClave in 2020, alleging that it violated federal securities laws with its $25.5 million crowdfunded Consumer Activity Token (CAT) three years ago. In total, BitClave agreed to pay approximately $29 million to the BitClave Fair Fund, a structure for distributing fines and disgorgement to defrauded investors. It’s unclear if the startup paid the full amount; as of February 2023, only $12 million was in this account, CoinDesk reported.