Correct, but highly unlikely China will assist the SEC in any action, making any action impossible. Far more likely, the SEC will concentrate its efforts elsewhere.
Agreed, but they dont have to assist the SEC if we assume they ID-ed friedcat. Is friedcat willing to be charged and prosecuted in the US, even if his government will never extradite him? Fun prospect for a young entrepreneur to never be able to travel to the US. And for that matter, I have no idea if what he is doing is at all legal under Chinese law. Somehow I would be surprised securities would be less regulated in China than in the west. Whether or not Chinese authorities care, who knows, but they do seem to care a lot about bitcoin exchanges..