PANews reported on December 17 that according to an official announcement from CyberKongz, its team received a Wells Notice from the U.S. Securities and Exchange Commission (SEC). The NFT project CyberKongz said that it has been subjected to unfair accusations and misunderstandings from the SEC over the past two years, especially the lack of understanding of blockchain technology. The SEC believes that the combination of ERC-20 tokens and blockchain games must be registered as securities, a position that may have far-reaching implications for the entire Web3 gaming industry. In addition, the SEC also objected to the Genesis Kongz contract migration in April 2021, mistakenly treating it as an initial sale. CyberKongz said it will resolutely fight for a clearer regulatory path for NFT projects and the Web3 industry, and called on the community to work together to promote industry development.