- Kraken has argued that Congress should limit the SEC’s authority and supported more transparent cryptocurrency regulations.
- In an effort to challenge the SEC’s position on cryptocurrencies and obtain regulatory clarity, Coinbase has intensified its legal dispute with the agency.
- Denying the accusations and contesting the SEC’s jurisdiction over the administration of cryptocurrency assets, Binance is taking the SEC to court.
CryptoCaster Quick Check:
Leading cryptocurrency exchange Kraken has teamed up with industry heavyweights Binance and Coinbase to take on the US Securities and Exchange Commission (SEC) in court. The ongoing conversation about cryptocurrency regulation may be significantly impacted by these lawsuits.
Entering the extended legal battle with the US Securities and Exchange Commission (SEC), prominent cryptocurrency exchange Kraken has teamed up with industry heavyweights Coinbase and Binance. The ongoing conversation about cryptocurrency regulation may be significantly impacted by these lawsuits.
On May 10, 2023, Kraken testified before the House Financial Services Committee and the House Agriculture Committee, claiming that the laws currently in place are insufficient to address the needs of the digital asset sector.
Kraken Intensifies Its Standoff with the SEC
The discussion emphasized how Congress must create a more thorough set of regulations to protect investors and consumers. The SEC declared its intention to sue Kraken the day following this testimony.
Stay in the know on crypto by frequently visiting Crypto News Today
Kraken responded firmly to this by filing a motion to dismiss the lawsuit. The foundation of the exchange’s argument is its assertion that the digital assets in question are not investment contracts and, as such, are not subject to SEC regulation.
The Howey Test is used by the SEC to determine this classification. If an asset satisfies any one of the test’s four requirements, it may be categorized as a security. Kraken contends that none of the assets it has listed fit these criteria.
A recent Kraken blog post explained its point of view:
“Even taking all of the SEC’s allegations in the Complaint as true – and many are not – its argument is flawed as a matter of law.”
Coinbase and Binance Legal Actions Continue
Another major participant in the cryptocurrency market, Coinbase, is intensifying its own legal dispute with the SEC. The exchange has filed an appeal with the SEC, demanding that it decide how to categorize cryptocurrencies in a definitive manner. Chief Legal Officer of Coinbase Paul Grewal characterised the SEC’s position as follows:
“Arbitrary and capricious, an abuse of discretion, and contrary to law.”
In the meantime, Binance is getting ready to go to court in Washington with the SEC. Allegations of artificially inflating trading volumes and permitting the trading of cryptocurrency tokens deemed securities are part of the SEC’s lawsuit against Binance.
In response, Binance reaffirmed its contention that the SEC is not equipped to regulate digital assets. Coinbase has taken a similar stand in its legal battle.
These large exchanges’ collective position reveals a basic disagreement over the SEC’s authority to oversee the cryptocurrency industry. The industry needs sensible guidelines, as evidenced by its coordinated efforts to challenge the SEC’s authority over crypto asset management and seek legal clarity.
We hope you appreciated this article. Before you move on, I was hoping you would consider taking the step of supporting CryptoCaster’s journalism.
From Elon Musk, Larry Fink(BlackRock) to Jamie Dimon(JP Morgan Chase) a number of billionaire owners have a powerful hold on so much of the hidden agendas’ which eludes the public concerning the paradigm shift juxtaposed by cryptocurrency and web3 emerging technologies. CryptoCaster is different. We have no billionaire owner or shareholders to consider. Our journalistic efforts are produced to serve the public interest in crypto development and institutional disruptions – not profit motives.
And we avoid the trap that befalls much U.S. and global media – the tendency, born of a desire to please all sides, to engage in false equivalence in the name of neutrality and retail consumer protection. While fairness and transparency dictates everything we do, we know there is a right and a wrong position in the fight against fiat global banking interest and monetary reconstruction precipitated by the emerging crypto ecology.
When we report on issues like the FTX, Binance and Ripple crisis, we’re not afraid to name who or what is uncovered. And as a crypto sentinel, we’re able to provide a fresh, outsider perspective on the global monetary disruption – one so often missing from the insular American and European media bubble.
Around the world, readers can access the CryptoCaster’s paywall-free journalism because of our unique reader-supported model. That’s because of people like you. Our readers keep us independent, beholden to no outside influence and accessible to everyone – whether they can afford to pay for news and information, or not.
We thankyou for the on-going support our readers have bestowed monetarily. If you have not considered supporting CryptoCaster, if you can, please consider supporting us just once from $1 or more of Bitcoin (satoshi) or Eth, and better yet, support us every month with a little more. Scroll further down this page to obtain CryptoCaster’s wallet addresses.
Thank you.
Kristin Steinbeck
Editor, CryptoCaster
Please Read Essential Disclaimer Information Here.
© 2024 Crypto Caster provides information. CryptoCaster.world does not provide investment advice. Do your research before taking a market position on the purchase of cryptocurrency and other asset classes. Past performance of any asset is not indicative of future results. All rights reserved.
Contribute to CryptoCaster℠ Via Metamask or favorite wallet. Send Coin/Token to Addresses Provided Below.
Thank you!
BTC – bc1qgdnd752esyl4jv6nhz3ypuzwa6wav9wuzaeg9g
ETH – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
MATIC – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
LITECOIN – ltc1qxsgp5fykl0007hnwgl93zr9vngwd2jxwlddvqt
CRYPTOCASTER HEATMAP
