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ShapeShift, a crypto exchange, faced regulatory action from the Securities and Exchange Commission (SEC) for operating as an unregistered dealer in the U.S. concerning crypto securities. In order to settle the charges, ShapeShift proposed a settlement.Binance reported six hours ago that the company agreed to pay a $275,000 fine and not violate the Securities Exchange Act again. Also, Binance laid two-thirds of their employees off earlier today. The offer By ShapeShift to SEC 
ShapeShift, a former crypto exchange based in Denver, Colorado, was taken down by the US Securities and Exchange Commission (SEC) for allegedly operating as an unregistered dealer before 2021. In spite of ceasing its US operations, ShapeShift faced accusations of offering crypto to customers without registration.
When the SEC filed its complaint, ShapeShift offered a settlement and agreed to pay a $275,000 fine and comply with the Securities Exchange Act. Although the SEC didn’t specify digital assets as securities, it said ShapeShift operated in the US as an unregistered dealer between 2014 and 2021.
Apparently ShapeShift was buying and selling crypto assets for its own accounts, maintaining inventory, and presenting itself as a platform that would facilitate transactions on ShapeShift.io, according to the filing.&nbsp;
“ShapeShift regularly bought and sold crypto assets for and from its own accounts, carrying inventory in – and holding itself out to customers as willing to buy and sell – the crypto assets offered on ShapeShift.io,” the filing said. Several prominent <a href="https://news.todayq.com/krakens-jesse-powell-warns-us-crypto-exchanges-calls-sec-top-decel/" target="_blank" rel="noopener noreferrer nofollow">US crypto exchanges</a> have been targeted by the SEC, including <a href="https://news.todayq.com/coinbase-clo-criticizes-judgment-in-insider-trading-case/" target="_blank" rel="noopener noreferrer nofollow">Coinbase</a>, Kraken, and Binance.US.&nbsp;
In 2021, the US exchange of a company was closed, as confirmed by the SEC. Regarding the findings in the cease-and-desist, it was specified in a footnote that they do not hold sway over any other party or entity.&nbsp; Binance’s bold move 
In a related development and according to a Binance.US executive, the SEC’s attempt to halt Binance.US’ operations in 2023 resulted in significant repercussions. The company experienced massive layoffs and a steep decline in revenue due to dwindling market trust following the Temporary Restraining Order (TRO).
Christopher Blodgett, the executive, revealed in a deposition that approximately $1 billion worth of assets fled the platform, both crypto and fiat, post-TRO.&nbsp;
Consequently, there was a staggering 75% revenue loss and the termination of 200 employees, which constituted two-thirds of the company’s workforce in the US. This downsizing has hampered the exchange’s ability to fulfill discovery requests from the SEC effectively, as teams are now stretched thin.
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ShapeShift still faces crypto charges; $275K SEC settlement

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