The US Securities and Exchange Commission (SEC) has been known for its continued crackdown on the crypto industry over the last few years. Charles Hoskinson, the founder of Cardano, believes that the agency’s actions are politically motivated. He believes that the regulator is trying to save face in the wake of the fall of disgraced FTX founder Sam Bankman-Fried (SBF), who was one of the highest donors of the Democratic party between 2021 and 2022. Hoskinson also highlighted how the SEC’s intense regulatory pressure negatively impacts the economy, as many entrepreneurs have been forced to move their operations overseas.Crypto exchange Bittrex is one of the companies that have suffered from the SEC’s crackdown. In March this year, the company announced that it was winding down its US operations due to the “continued regulatory uncertainty” in the country.When the SEC sued two of the world’s largest crypto exchanges, Binance and Coinbase, in June, it alleged that they offered unregistered securities on their platform, and Cardano’s ADA was one of the tokens that the regulator classified as a security. However, Hoskinson stated that the SEC is not coming for Cardano, and the fact that the SEC hasn’t made any direct enforcement against Cardano shows that the SEC doesn’t plan to crack down on his firm. This position has a solid foundation, considering that the SEC is involved in a long-running legal battle against blockchain firm Ripple Labs as it has continued to allege that the XRP token is a security.
| Information |
Details |
| Geography |
North America |
| Countries |
🇺🇸 🇨🇳 |
| Sentiment |
neutral |
| Relevance Score |
8 |
| People |
Charles Hoskinson, John Reed Stark, Sam Bankman-Fried, Corey Costa, Bittrex. |
| Companies |
US Securities and Exchange Commission, Cardano, FTX, Bittrex, Binance, Coinbase, Ripple Labs |
| Currencies |
ADA, Bitcoin, Ethereum, XRP, US Dollar |
| Securities |
None |
