Galois Capital responds to SEC investigation: uses non-qualified custodian Fireblocks and has developed investor redemption strategy

Crypto hedge fund Galois Capital responded to the U.S. Securities and Exchange Commission (SEC) investigation, saying that after nearly two years of comprehensive and expensive investigations, and without admitting or denying the findings detailed in the SEC order, it has agreed to settle with the SEC and pay a fine of $225,000, which will be paid directly to investors. Galois Capital said that it had previously used non-qualified custodian Fireblocks as a solution to protect crypto assets. Although Fireblocks was not a qualified custodian, it was the best solution to meet Galois Capital's needs at the time, and the use of Fireblocks had been disclosed in the ADV form submitted to the SEC. Galois Capital said that it has developed a redemption strategy for investors, requiring at least five business days' notice of the redeemer before the end of the month.