{"id":39299,"date":"2025-03-29T18:30:26","date_gmt":"2025-03-29T15:30:26","guid":{"rendered":"https:\/\/coinengineer.net\/blog\/?p=39299"},"modified":"2025-03-29T17:09:37","modified_gmt":"2025-03-29T14:09:37","slug":"naygs-lawsuit-against-galaxy-called-lawfare","status":"publish","type":"post","link":"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/","title":{"rendered":"NAYG&#8217;s Lawsuit Against Galaxy Called &#8220;Lawfare&#8221;"},"content":{"rendered":"<p>SkyBridge Capital founder <strong>Anthony Scaramucci describes the NAYG&#8217;s lawsuit against<a href=\"https:\/\/coinengineer.net\/blog\/coinbase-adds-this-altcoin-to-its-listing-roadmap\/\"> Galaxy Digital<\/a> as &#8220;lawfare.&#8221;<\/strong><\/p>\n<p class=\"\" data-start=\"0\" data-end=\"340\">Anthony Scaramucci stated that the lawsuit filed by the <strong data-start=\"56\" data-end=\"101\">New York Attorney General&#8217;s Office (NAYG)<\/strong> against <strong data-start=\"110\" data-end=\"128\">Galaxy Digital<\/strong> was unfair and an abuse of the legal system. In a March 28 X post, Scaramucci said, \u201cThis is \u2018<strong data-start=\"223\" data-end=\"234\">lawfare<\/strong>,\u2019 plain and simple, due to an obscure but dangerously powerful New York law known as the <strong data-start=\"324\" data-end=\"338\">Martin Act<\/strong>.\u201d<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_71 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#Scaramucci_Criticizes_the_Martin_Act_in_Opposition_to_Galaxy_Digital_Lawsuit\" title=\"Scaramucci Criticizes the Martin Act in Opposition to Galaxy Digital Lawsuit\">Scaramucci Criticizes the Martin Act in Opposition to Galaxy Digital Lawsuit<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#Grossman_Criticizes_NAYGs_Lawsuit_Against_Galaxy_Digital\" title=\"Grossman Criticizes NAYG&#8217;s Lawsuit Against Galaxy Digital\">Grossman Criticizes NAYG&#8217;s Lawsuit Against Galaxy Digital<\/a><\/li><\/ul><\/nav><\/div>\n<h2 data-start=\"342\" data-end=\"422\"><span class=\"ez-toc-section\" id=\"Scaramucci_Criticizes_the_Martin_Act_in_Opposition_to_Galaxy_Digital_Lawsuit\"><\/span>Scaramucci Criticizes the Martin Act in Opposition to Galaxy Digital Lawsuit<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"\" data-start=\"424\" data-end=\"948\">Scaramucci criticized the <strong data-start=\"450\" data-end=\"464\">Martin Act<\/strong>, stating, \u201cThis law doesn\u2019t require proving intent, which creates a low standard of proof and opens the door for abuses like this. This law should not exist.\u201d The <strong data-start=\"628\" data-end=\"642\">Martin Act<\/strong> is one of the strictest fraud and securities laws in the U.S., allowing prosecutors to pursue financial fraud cases without needing to prove intent. <strong data-start=\"792\" data-end=\"800\">NAYG<\/strong> alleged that <strong data-start=\"814\" data-end=\"832\">Galaxy Digital<\/strong> violated the <strong data-start=\"846\" data-end=\"860\">Martin Act<\/strong> for promoting <strong data-start=\"875\" data-end=\"884\">Terra<\/strong> and <strong data-start=\"889\" data-end=\"907\">Galaxy Digital<\/strong> agreed to a <strong data-start=\"920\" data-end=\"936\">$200 million<\/strong> settlement.<\/p>\n<h2 data-start=\"950\" data-end=\"1011\"><span class=\"ez-toc-section\" id=\"Grossman_Criticizes_NAYGs_Lawsuit_Against_Galaxy_Digital\"><\/span>Grossman Criticizes NAYG&#8217;s Lawsuit Against Galaxy Digital<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"\" data-start=\"1013\" data-end=\"1366\">MoonPay\u2019s <strong data-start=\"1023\" data-end=\"1055\">Vice President of Enterprise<\/strong> <strong data-start=\"1056\" data-end=\"1074\">Keith Grossman<\/strong> said he had never heard of the <strong data-start=\"1106\" data-end=\"1120\">Martin Act<\/strong> and had to research it using <strong data-start=\"1150\" data-end=\"1161\">ChatGPT<\/strong>. Grossman remarked, \u201cIt is so broad and essentially the essence of <strong data-start=\"1229\" data-end=\"1240\">lawfare<\/strong>,\u201d and expressed his sympathy for <strong data-start=\"1274\" data-end=\"1311\">Galaxy Digital CEO Mike Novogratz<\/strong>, stating he was sorry Novogratz became a victim of it.<\/p>\n<p class=\"\" data-start=\"1368\" data-end=\"1576\">The lawsuit claims that <strong data-start=\"1392\" data-end=\"1410\">Galaxy Digital<\/strong> helped raise the price of <strong data-start=\"1437\" data-end=\"1453\">Terra (LUNA)<\/strong> tokens from <strong data-start=\"1466\" data-end=\"1475\">$0.31<\/strong> in October 2020 to <strong data-start=\"1495\" data-end=\"1506\">$119.18<\/strong> in April 2022, making <strong data-start=\"1529\" data-end=\"1564\">hundreds of millions of dollars<\/strong> in profits.<\/p>\n<p class=\"\" data-start=\"1578\" data-end=\"1965\">Asset manager <strong data-start=\"1592\" data-end=\"1613\">Anthony Pompliano<\/strong> stated that while he was not familiar with the details of the lawsuit, he vouched for <strong data-start=\"1700\" data-end=\"1713\">Novogratz<\/strong>, calling him a &#8220;good man&#8221; who has spent a lot of time and money helping others. The <strong data-start=\"1798\" data-end=\"1816\">Terra collapse<\/strong> is considered one of the biggest failures in the crypto world, and <strong data-start=\"1884\" data-end=\"1900\">SEC attorney<\/strong> stated that <strong data-start=\"1913\" data-end=\"1922\">Terra<\/strong> collapsed in 2022 like a &#8220;house of cards.&#8221;<\/p>\n<hr \/>\n<p class=\"\" data-start=\"1578\" data-end=\"1965\"><em>You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don\u2019t forget to follow us on our\u00a0<a href=\"https:\/\/t.me\/coinengineernews\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>Telegram,\u00a0<\/strong><\/a><a href=\"https:\/\/www.youtube.com\/@CoinEngineer\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>YouTube<\/strong><\/a>,\u00a0and\u00a0<a href=\"https:\/\/twitter.com\/coinengineers\" target=\"_blank\" rel=\"nofollow noopener\"><strong>Twitter<\/strong><\/a>\u00a0channels for the latest\u00a0<a title=\"News\" href=\"https:\/\/coinengineer.net\/blog\/news\/\" data-internallinksmanager029f6b8e52c=\"7\">news<\/a>\u00a0and updates.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>SkyBridge Capital founder Anthony Scaramucci describes the NAYG&#8217;s lawsuit against Galaxy Digital as &#8220;lawfare.&#8221; Anthony Scaramucci stated that the lawsuit filed by the New York Attorney General&#8217;s Office (NAYG) against Galaxy Digital was unfair and an abuse of the legal system. In a March 28 X post, Scaramucci said, \u201cThis is \u2018lawfare,\u2019 plain and simple,<\/p>\n","protected":false},"author":29,"featured_media":39302,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[493,13699,13700,13698,7649],"class_list":["post-39299","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","tag-galaxy-digital","tag-grossman","tag-martin-act","tag-nayg","tag-scaramucci"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>NAYG&#039;s Lawsuit Against Galaxy Called &quot;Lawfare&quot; - Coin Engineer<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NAYG&#039;s Lawsuit Against Galaxy Called &quot;Lawfare&quot; - Coin Engineer\" \/>\n<meta property=\"og:description\" content=\"SkyBridge Capital founder Anthony Scaramucci describes the NAYG&#8217;s lawsuit against Galaxy Digital as &#8220;lawfare.&#8221; Anthony Scaramucci stated that the lawsuit filed by the New York Attorney General&#8217;s Office (NAYG) against Galaxy Digital was unfair and an abuse of the legal system. In a March 28 X post, Scaramucci said, \u201cThis is \u2018lawfare,\u2019 plain and simple,\" \/>\n<meta property=\"og:url\" content=\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/\" \/>\n<meta property=\"og:site_name\" content=\"Coin Engineer\" \/>\n<meta property=\"article:published_time\" content=\"2025-03-29T15:30:26+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-03-29T14:09:37+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/03\/galaxy_ce.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1080\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Emre Yumlu\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Emre Yumlu\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/\",\"url\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/\",\"name\":\"NAYG's Lawsuit Against Galaxy Called \\\"Lawfare\\\" - Coin Engineer\",\"isPartOf\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/03\/galaxy_ce.jpg\",\"datePublished\":\"2025-03-29T15:30:26+00:00\",\"dateModified\":\"2025-03-29T14:09:37+00:00\",\"author\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c\"},\"breadcrumb\":{\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#primaryimage\",\"url\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/03\/galaxy_ce.jpg\",\"contentUrl\":\"https:\/\/coinengineer.net\/blog\/wp-content\/uploads\/2025\/03\/galaxy_ce.jpg\",\"width\":1920,\"height\":1080,\"caption\":\"galaxy\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/coinengineer.net\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"NAYG&#8217;s Lawsuit Against Galaxy Called &#8220;Lawfare&#8221;\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#website\",\"url\":\"https:\/\/coinengineer.net\/blog\/\",\"name\":\"Coin Engineer\",\"description\":\"Btc, Coins, Pre-Sale, DeFi, NFT\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/coinengineer.net\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/f99e7d0d5039cb3b36bd759a12c1216c\",\"name\":\"Emre Yumlu\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/coinengineer.net\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/3618e7041e2880ae9fdfeec9b77592ba6e9417ff89cfe4db07e0d1687a477d7b?s=96&d=mm&r=g\",\"caption\":\"Emre Yumlu\"},\"url\":\"https:\/\/coinengineer.net\/blog\/author\/ceemre\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"NAYG's Lawsuit Against Galaxy Called \"Lawfare\" - Coin Engineer","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/coinengineer.net\/blog\/naygs-lawsuit-against-galaxy-called-lawfare\/","og_locale":"en_US","og_type":"article","og_title":"NAYG's Lawsuit Against Galaxy Called \"Lawfare\" - Coin Engineer","og_description":"SkyBridge Capital founder Anthony Scaramucci describes the NAYG&#8217;s lawsuit against Galaxy Digital as &#8220;lawfare.&#8221; Anthony Scaramucci stated that the lawsuit filed by the New York Attorney General&#8217;s Office (NAYG) against Galaxy Digital was unfair and an abuse of the legal system. 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