The United States of America will sooner or later be hollowed out of its cryptocurrency exchanges if the SEC and other local police Finance maintain their repressive policy. Kraken, Coinbase, Paxos and many more have drawn the wrath of regulators lately. And the way things are going Bittrex will be the next exchange to join the SEC’s hunting board.
Bittrex and its registration issues
It’s all bad for Bittrex. Because in addition to$29 million fine imposed by OFACthe Seattle-based company had to weigh anchor due to regulatory crackdowns.
In publication dated April 16the Wall Street Journal revealed that the SEC is preparing attacks against Bittrex. The reason is that this cryptocurrency exchange would have perpetrated “ alleged violations related to investor protection “.
This information follows theissuance of a Wells notice issued by the SEC’s law enforcement unit in March. As a charge, the American regulator mentioned the non-compliance with applicable laws while doing business as a crypto exchange, broker-dealer and clearing house by Bittrex. While this one did no record in his offices.
Regulatory uncertainty in the United States
Many of the US crypto companies want to relocate because of thelack of industry regulation. Recent SEC practice shows that Gary Gensler and his team are the type to flex their muscles when the opportunity arises.
” Lack of regulatory clarity leads to substantial costs and a lack of certainty about what can or cannot be offered “says David Maria, General Counsel of Bittrex.
Me Maria confessed that he has already discussed this story of registration with the SEC at the end of 2022. Except that at that time, following the rules imposed by the regulator is impossible. Had Bittrex complied with these injunctions, it would have ended up ceasing all revenue-generating activities in the United States.
Right now, the Bittrex barons are wondering if the SEC is going to file a lawsuit against them. If so, the crypto business will also resort to the Ripple-style sword of justice. For Bittrex’s lawyer, it is better for the regulators that they ” make a reasonable offer of settlement “.
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