Bittrex is the Next by SEC

If you read crypto-related news quite often then I am sure that you know what US SEC (Securities and Exchange Commission) is doing these days. They have been trying to target the United States and they started doing it with coinbase first and some other exchanges later on. It seems like they have planning place to target these Crypto companies one by one and Binance is also on the list. There would be a scenario in which they are trying to bring regulation for cryptocurrency products which is good because this will give more power to the investors this is a good initiative since there has been no such announcement about it so it seems things can be good or bad.

Bittrex is the next cryptocurrency exchange that has been targeted by them and as per SEC, there is a violation of federal rules. The bittrex exchange announced the US exit because of the regulatory environment which is not easy for such companies to survive. Before the exit, they have been targeted by the sea and now they are questioned on various things related to their operations. This is not the first crypto company dealing with SEC and because of this type of regulatory environment, many exchanges might take an exit from the United States.

src

The U.S. Securities and Exchange Commission alleged that crypto exchange Bittrex simultaneously operated a national securities exchange, broker, and clearing agency in violation of federal statutes. Former CEO Bill Shihara and Bittrex Global GmbH are also facing charges.

This is the year of regulation and probably this is happening because of some tragic incidents like Luna or FTX etc so now things can be tough for the crypto community. Its hard to say if the Bittrex exchange has followed the government norms or not but now since SEC has charged them so they must have some evidence in place. Coinbase was also charged by them but it did not affect their operation and its working as usual. Maybe the same is done with Bittrex and other exchanges as well. One thing is confirmed now these exchnages will be careful before they take any step which is not compliant with the law or regulation and this is also needed to avoid another FTX-type tragedy.

Let's see how SEC takes it forward and if in case it affects their operations in the US. Keeping funds in an exchange wallet is anyways not recommended unless you trade regularly because safety can be one of the concerns. You never which exchnage can be in trouble and that may bring risk to your funds. Keeping funds for trading purposes is needed but keeping them idle is not recommended.

Thank you

Posted Using LeoFinance ^Beta