The war between the Kraken crypto exchange and the U.S. SEC continues amid new statements from the platform. 
As <a href="https://www.bloomberg.com/news/articles/2024-05-10/kraken-battles-sec-over-investment-concept-wording-in-filing?srnd=cryptocurrencies-v2&amp;leadSource=reddit_wall" target="_blank" rel="">Bloomberg</a> writes, citing a new letter from <a href="https://crypto.news/tag/Kraken/" target="_blank" rel="">Kraken</a> filed earlier this week, the exchange accuses the regulator of incorrectly formulating its arguments in the charges. 
Kraken claims that the SEC used the terms investment “concept” and “ecosystem” instead of “investment contract” and “enterprise” several times in its arguments. According to the platform, the regulator could not identify any investment contracts that could be sold, brokered, or settled on Kraken. 
The SEC previously noted, citing case law, that words themselves do not determine the type of security since actions are not limited to the obvious and trivial. 
 You might also like: <a href="https://crypto.news/sec-overstepped-bounds-in-kraken-lawsuit-us-state-attorneys-say/" rel=""> SEC overstepped bounds in Kraken lawsuit, US state attorneys say </a> 
Last November, the SEC <a href="https://crypto.news/sec-sues-kraken-crypto-exchange-due-to-illegal-operation/" target="_blank" rel="">sued</a> Kraken, alleging it operated without an appropriate license. The lawsuit states that Kraken has been operating illegally since 2018&nbsp;as a securities exchange, broker, dealer, and clearing agency, earning hundreds of millions of dollars. In addition, Kraken could mix its clients’ funds with its assets, potentially leading to losses on both sides. 
The SEC’s filing asks that Kraken be permanently banned from operating as an unregistered exchange. In addition, the regulator announced the need to pay a fine and return part of the funds obtained illegally. 
In June 2023, crypto exchanges <a href="https://crypto.news/tag/binance/" target="_blank" rel="">Binance</a> and <a href="https://crypto.news/tag/coinbase/" target="_blank" rel="">Coinbase</a> <a href="https://crypto.news/sec-sues-coinbase-just-hours-after-binance/" target="_blank" rel="">faced</a> similar SEC lawsuits. As with Kraken, both exchanges were accused of violating securities laws. 
 You might also like: <a href="https://crypto.news/crypto-analyst-blasts-kraken-lawsuit-as-secs-money-grab-criticizes-attacks-on-ada/" rel=""> Crypto analyst blasts Kraken lawsuit as SEC’s money grab, criticizes attacks on ADA </a>

Kraken again asks to dismiss SEC lawsuit, citing incorrect wording

crypto.news

Другие статьи, опубликованные 10 мая 2024 г.

Crypto insider turns $600 into $2.5 million of unrealized profits

Bitcoin Poised to Surge on Bullish Candle Hammer — Glassnode Executives

NFTs Are Down In Sales, But Alive And Healthy – Here’s The 10 Top Selling NFTs This Week

Trump Gains Crypto Investors Support At Mar-a-Lago: 'If You Like Crypto, You Better Vote for Trump'

Pantera Capital Leads Blockchain Investment in Telegram’s TON

How Can Bitcoin (BTC) Price Go Up? What’s Needed for a Rally? Here’s the Answer

Join our free newsletter for daily crypto updates!