Addressing Community Concerns: Sushi’s Head Chef Responds to SEC Subpoena

Sushi’s Head Chef Addresses Community Concerns Amid SEC Subpoena

The head chef of Japan-based decentralized autonomous organization (DAO), Sushi, Jared Grey, and his counsel have addressed the community’s concerns regarding the recent subpoena from the United States Securities and Exchange Commission (SEC). Grey reassured the community that he is cooperating with the investigation, which he described as a “non-public, fact-finding inquiry.” He also stated that as far as he knows, no one associated with Sushi has violated U.S. federal security laws.

FAQ: Common Questions About the Subpoena

Grey provided answers to the most commonly asked questions from the community in a frequently asked question (FAQ) format. He emphasized that the investigation does not imply any wrongdoing and does not mean that the SEC has a negative opinion of any person, entity, or asset. Grey also acknowledged the Sushi DAO legal defense fund, a dedicated $3 million fund he proposed to the community after the subpoena was served, stating that he is working to ensure adequate funds are in place to handle legal needs for operational continuity and protect core contributors. He assured that any unused funds in the legal defense fund will be refunded after all legal costs have been covered.

Future Subpoenas and New Developments

Grey mentioned that it is unknown whether the SEC will issue further subpoenas to others linked with Sushi in the future. He also informed his Twitter followers that Sushi’s newly deployed concentrated liquidity model, v3, will be officially announced next week. However, Grey mentioned that he cannot comment further than what the FAQ provides when asked for more details.

Legal Defense Fund as Self-Insurance Tool

This development comes after MakerDAO, the issuer of Dai, launched a $5 million legal defense fund on Feb. 1 to serve as a self-insurance tool for its participants. The developers of MakerDAO pointed out that such costs cannot be transferred through traditional insurance.

Conclusion

Grey’s statement and FAQ provide reassurance to the Sushi community amid the SEC subpoena, clarifying that the investigation does not imply any wrongdoing and that he is cooperating with the inquiry. The acknowledgement of the legal defense fund and plans for future developments demonstrate Grey’s commitment to ensuring operational continuity and protecting the interests of Sushi and its contributors.