1. BITBILIHome
  2. Article

Bittrex slapped with jaw-dropping $24M fine by SEC

• 102 views

TL;DR Breakdown

  • The SEC, in an official announcement on August 10th, stated that both Bittrex and Bittrex Global, its associated entity, have consented to a substantial settlement totaling $24 million to resolve the legal dispute with the federal regulatory body.
  • The SEC has accused the platform of collaborating with token issuers over an extended period, with the intention of removing any indications that the tokens they offered could be classified as investment contracts. 
  • The formal complaint lodged by the SEC back in April put forward allegations that Bittrex, under the leadership of Shihara, effectively ran an unregistered national securities exchange. 

Description

The United States Securities and Exchange Commission (SEC) has recently revealed an agreement reached with the prominent cryptocurrency trading platform Bittrex, as well as its co-founder and former CEO, William Shihara. This agreement comes as a response to allegations of operating an unregistered exchange, a violation of federal regulations. The SEC, in an official announcement … Read more

The United States Securities and Exchange Commission (SEC) has recently revealed an agreement reached with the prominent cryptocurrency trading platform Bittrex, as well as its co-founder and former CEO, William Shihara. This agreement comes as a response to allegations of operating an unregistered exchange, a violation of federal regulations.

The SEC, in an official announcement on August 10th, stated that both Bittrex and Bittrex Global, its associated entity, have consented to a substantial settlement totaling $24 million to resolve the legal dispute with the federal regulatory body. This settlement is comprised of different components, including $14.4 million in disgorgement, $4 million in prejudgment interest, and $5.6 million in civil penalties. However, it’s important to note that the settlement’s finalization is contingent upon approval by a court.

The underlying issue that prompted this legal action revolves around the alleged actions of Bittrex. The SEC has accused the platform of collaborating with token issuers over an extended period, with the intention of removing any indications that the tokens they offered could be classified as investment contracts. This strategic move was seemingly aimed at circumventing the regulations set forth by federal securities laws. 

Bittrex vs SEC

Gurbir Grewal, the enforcement director at the SEC, has emphasized the significance of this settlement, highlighting that mere alterations in labels or descriptions cannot absolve parties from legal accountability. What holds paramount importance is the genuine economic nature of these offerings.

The formal complaint lodged by the SEC back in April put forward allegations that the exchange, under the leadership of Shihara, effectively ran an unregistered national securities exchange. Moreover, the complaint extended to include accusations of the company functioning as a broker and clearing agency, all without proper registration. The enforcement body did not limit its actions solely to Bittrex, as it also initiated a separate enforcement action specifically targeting Bittrex Global. This action pertained to the operation of a singular shared order book, an aspect that raised concerns in conjunction with Bittrex’s activities.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

文章来源于互联网:Bittrex slapped with jaw-dropping $24M fine by SEC

Disclaimers:

1. You are solely responsible for your investment decisions and this info is not liable for any losses you may incur.

2. The copyright of this article belongs to the writer, it represents the writer's opinions only, not represents the site's ones. Not financial advice.

Previous 2023年8月11日 21:17
Next 2023年8月11日 22:42

Related articles

  • Sam Bankman-Fried finally sent to jail!

    TL;DR Breakdown Sam Bankman-Fried, FTX founder, is now in custody. Arrest follows alleged witness tampering linked to a diary leak. Diary belonged to Caroline Ellison, former associate cooperating with prosecutors. Description A massive blow struck the crypto realm today as Sam Bankman-Fried, the renowned founder of FTX, faced his biggest defeat yet: incarceration. The entrepreneur, once hailed as a revolutionary in the digital currency landscape, finds himself on the other side of the law today. So how did this saga unravel? The diary dilemma While awaiting … Read more A massive blow struck the crypto realm today as Sam Bankman-Fried, the renowned founder of FTX, faced his biggest defeat yet: incarceration. The entrepreneur, once hailed as a revolutionary in the digital currency landscape, finds himself on the other side of the law today. So how did this saga unravel? The diary dilemma While awaiting trial on heavy fraud allegations, it seemed Bankman-Fried’s patience ran thin. However, it wasn’t the looming trial that landed him in cuffs; it was his alleged attempts at witness intimidation. As with many tales of treachery,…

    Article 2023年8月12日

  • Solana Pay integrates with Shopify, enabling USDC payments for millions of businesses

    TL;DR Breakdown Solana Pay has integrated with Shopify, allowing millions of businesses to accept payments in USDC, with near “fee-free” transaction costs, significantly lower than traditional credit card fees. The integration opens doors for innovative loyalty programs, such as NFT loyalty tokens, and is part of Shopify’s ongoing embrace of crypto payment options, including previous collaborations with Coinbase Commerce, Strike, and others. Description Solana Pay, a decentralized payment protocol developed by Solana Labs, has made a significant stride by integrating its plug-in with Shopify. This integration allows millions of businesses on Shopify’s platform to accept payments in USDC, the second-largest stablecoin with a market capitalization of $25.9 billion. The decision to start with USDC was strategic, as merchants … Read more Solana Pay, a decentralized payment protocol developed by Solana Labs, has made a significant stride by integrating its plug-in with Shopify. This integration allows millions of businesses on Shopify’s platform to accept payments in USDC, the second-largest stablecoin with a market capitalization of $25.9 billion. The decision to start with USDC was strategic, as merchants are likely more willing…

    Article 2023年8月24日

  • Venezuela’s crypto scene remains chaotic – Here is why

    TL;DR Breakdown Venezuela’s cryptocurrency sector is in disarray following the arrest of Sunacrip head, Joselit Ramirez, amid a corruption scandal. The crypto mining activities are paused, causing massive losses and leading some miners to consider relocating their operations. Mass layoffs have occurred at Sunacrip, and the future of Venezuela’s official cryptocurrency, the Petro, is uncertain. Description The tumultuous saga of Venezuela’s cryptocurrency industry reflects a landscape of turmoil, confusion, and potential collapse. Following the arrest of the head of Venezuela’s crypto regulator, Sunacrip’s Joselit Ramirez, and the subsequent intervention into the institution’s workings, the nation’s crypto environment has become an arena of uncertainty. The reasons behind this instability are as convoluted … Read more The tumultuous saga of Venezuela’s cryptocurrency industry reflects a landscape of turmoil, confusion, and potential collapse. Following the arrest of the head of Venezuela’s crypto regulator, Sunacrip’s Joselit Ramirez, and the subsequent intervention into the institution’s workings, the nation’s crypto environment has become an arena of uncertainty. The reasons behind this instability are as convoluted as they are disturbing. Venezuela’s turbulence post-intervention: A nation in limbo…

    Article 2023年7月19日

  • Self-proclaimed Bitcoin creator Craig Wright ordered to pay $516K to pursue case against Kraken and Coinbase

    TL;DR Breakdown UK judge orders Craig Wright to provide $516K as security to pursue case against Coinbase and Kraken. Wright accuses the exchanges of copyright infringement, claiming ownership of the term “Bitcoin.” Wright faces multiple legal challenges, including a U.S. case and a failed libel claim against a podcaster. Description Craig Wright, the self-proclaimed creator of Bitcoin, has been ordered by James Mellor, a judge at the England and Wales High Court, to provide £400,000 ($516,000) as security for legal costs to pursue his allegations against crypto exchanges Coinbase and Kraken. This ruling comes in light of Wright’s previous statements that he had made himself … Read more Craig Wright, the self-proclaimed creator of Bitcoin, has been ordered by James Mellor, a judge at the England and Wales High Court, to provide £400,000 ($516,000) as security for legal costs to pursue his allegations against crypto exchanges Coinbase and Kraken. This ruling comes in light of Wright’s previous statements that he had made himself financially “untouchable” by using a trust to shift assets. However, Judge Mellor raised doubts regarding Wright’s financial…

    Article 2023年7月27日

  • Swiss Social Democratic Party proposes shrinking UBS assets after Credit Suisse takeover

    TL;DR Breakdown Switzerland’s Social Democratic Party proposes limiting UBS’s assets after its takeover of Credit Suisse, citing risks to the country’s economy due to the large balance sheet size. The party suggests an upper limit for UBS’s assets at half of Switzerland’s GDP, requiring the bank to reduce its assets to a quarter of their current level. The proposal addresses concerns about the bank’s size and vulnerability, offering an opportunity to balance growth and stability in the banking sector. Switzerland’s Social Democratic Party has proposed limiting the size of UBS’s assets following its acquisition of Credit Suisse, according to the Aargauer Zeitung newspaper. The party, the second largest in the Swiss parliament, argues that the combined bank’s balance sheet, estimated to be around 1.5 trillion Swiss francs, poses significant risks to the country, especially considering the implicit state guarantee it enjoys. Party member and lawmaker Samira Marti told the newspaper that an upper limit should be imposed on the bank’s assets, suggesting they should not exceed half of Switzerland’s GDP, which stood at 771 billion Swiss francs last year. This…

    Article 2023年6月2日
TOP