Bittrex was considered one of the biggest crypto trading platforms in the United States. But lately he’s been embroiled in a legal battle with the SEC. Under pressure, the Seattle-based crypto firm had to end its operations in the United States. After suggesting that it is difficult to work with US regulators, she urged her clients to withdraw their funds by April 30. Now, the crypto exchange decides to file for US bankruptcy protection.
Bittrex files for bankruptcy following SEC accusations!
The Bittrex exchange, which recently bid farewell to the USA due to regulatory uncertainty, has just filed for bankruptcy. The crypto platform filed for Chapter 11 bankruptcy protection on Monday. She filed the necessary paperwork with the United States Bankruptcy Court for the District of Delaware. Also, she found that it has more than 100,000 creditors. At the same time, its assets are between 500 million and 1 billion dollars. Similarly, Bittrex estimates that it has between $500 million and $1 billion in liabilities.
The news comes as the crypto exchange finds itself in the crosshairs of the SEC. Indeed, the US regulator recently accused him of perpetrating violations related to investor protection. The SEC also indicted William Shihara, co-founder and former CEO of Bittrex, in April. She accused him of violating securities laws.
Prior to these events, the US regulator issued a Wells notice stating that Bittrex is illegally offering crypto services. He thus criticized the crypto company for not having registered in its offices before carrying out its activities in the United States.
Regulatory uncertainty in the United States is causing several crypto companies to flee the country, as feared by crypto players. However, there are crypto companies that are determined to stay in the United States. This is the case of Coinbase, whose CEO recently announced the intention to remain in the United States despite the tensions with the SEC. Indeed, Brian Armstrong said:Coinbase is not going to relocate abroad. We will always have a presence in the United States“. However, the co-founder acknowledged that the US is currently lagging behind in crypto regulation.
Receive a digest of news in the world of cryptocurrencies by subscribing to our new service of
daily and weekly so you don’t miss any of the essential Tremplin.io!