United

Northern

<a href="https://thecoinrise.com/kraken-receives-bitcoin-mt-gox-for-distribution/" rel="noopener noreferrer nofollow">Kraken</a>, a leading cryptocurrency exchange, has boldly sued the United States Securities and Exchange Commission (SEC). The exchange has contested the SEC’s allegations against it and demanded a jury trial for all contestable issues.
<a href="https://www.courtlistener.com/docket/68023155/91/securities-and-exchange-commission-v-payward-inc/" rel="noopener noreferrer nofollow">According to a court filing</a> at the U.S Court, Northern District of California, San Francisco Division, Kraken is opting to defend itself. Notably, the U.S. SEC has alleged that Kraken Exchange’s parent companies, Payward Inc. and Payward Ventures Inc., operated the platform illegally.
<h2 id="b-kraken-goes-offensive-in-legal-strategy-b">Kraken Goes Offensive in Legal Strategy</h2>
In the court filing, Kraken highlighted its efforts to comply with the SEC’s requirement. However, as Kraken’s account of developments shows, every attempt has been met with a brick wall. Therefore, the exchange says its only option involved legal defense before a jury. This step has become necessary as a U.S. District Court dismissed an earlier attempt by the SEC to dismiss the lawsuit.
Additionally, Kraken has alleged that the SEC needs to clarify which transactions fall into the category of investment contracts. The exchange maintains that digital assets cannot count as financial securities since they lack the rights and obligations of stocks, bonds, or other financial assets.
<h2 id="b-implications-of-the-case-b">Implications of the Case</h2>
Other notable issues that Kraken is challenging in court include the ambiguity of terms used by the regulatory body in the complaint filed against the SEC. Some such terminologies include “Kraken-traded securities, crypto asset securities, proprietary assets and investors.”
The exchange insists that all these terms were just an excuse for the SEC to claim securities violations. Legal experts say a successful defense of this stance could set legal precedence in crypto.
In a previous statement, the U.S. SEC distinguished these while emphasizing its position in the Binance case. According to the SEC, ‘crypto-asset securities’ do not refer to the crypto asset itself. It apologized for any confusion the terms might have caused.
<h2 id="b-kraken-s-regulatory-battles-beyond-the-u-s-b">Kraken’s Regulatory Battles Beyond the U.S.</h2>
Meanwhile,<a href="https://thecoinrise.com/kraken-exchange-hits-major-roadblock-in-australia/" rel="noopener noreferrer nofollow"> Kraken is also facing legal challenges in Australia</a> in a lawsuit instituted by the Australian Securities and Investments Commission. The Australian Regulatory Commission expressed concern over Kraken’s offering of its Magic Extension Product margin to investors.
Analysts have suggested that Kraken Exchange borrow a leaf from Binance and sort out its regulatory challenges so that it can focus on expanding its services. In July,<a href="https://thecoinrise.com/kraken-institutional-expands-kraken-custody-services-to-uk-and-australia/" rel="noopener noreferrer nofollow"> Kraken Exchange extended custody services to Australia and the UK</a>.
The post <a href="https://thecoinrise.com/kraken-demands-jury-trial-to-fight-secs-securities-claims/" rel="noopener noreferrer nofollow">Kraken Demands Jury Trial to Fight SEC’s Securities Claims</a> appeared first on <a href="https://thecoinrise.com/" rel="noopener noreferrer nofollow">TheCoinrise.com</a>.

Kraken Demands Jury Trial to Fight SEC’s Securities Claims

Table of Contents

TheCoinrise Media

Other articles published on Sep 13, 2024

BOOH World Presents New Telegram Play to Earn Game for Meme Fans, Eyeing Dual Token Launch

Hamster Kombat (HMSTR) – The 58th Project on Binance Launchpool

Beware of ‘Clipper Malware’: Binance warns of crypto fraud

Bitcoin (BTC) Price Comeback Imminent? Unexpectedly Bullish Data

Coinbase Analyst Attributes Ethereum’s Underperformance to Market Factors and Calls for New Catalyst

Top 5 Altcoins that have shown potential in 2024

Join our free newsletter for daily crypto updates!