Jesse Powell, co-founder of cryptocurrency exchange Kraken, has criticized the Securities and Exchange Commission (SEC) for filing a lawsuit against his platform. Powell referred to the SEC and its chief, Gary Gensler, as “USA’s top decel,” implying that they hinder progress. He expressed dissatisfaction with the SEC’s actions, stating that Kraken had already paid $30 million in settlements to the SEC in February 2023 and should not face fresh charges. Powell warned other crypto companies to consider operating outside the US to avoid expensive legal battles with the SEC, as he believes the SEC’s approach is excessive and could result in legal costs exceeding $100 million. The SEC has charged Kraken with operating an unregistered securities exchange, broker, dealer, and clearing agency. The lawsuit alleges that Kraken made “hundreds of millions of dollars” since 2018 and deprived investors of protections by operating without registration. The SEC claims that Kraken commingled customer and corporate funds and blended customer cash with its own to cover operational expenses. Kraken plans to vigorously defend its position and argues that the SEC’s “regulation by enforcement” approach harms American consumers, stifles innovation, and damages US competitiveness globally.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | North America |
| Countries | 🇺🇸 |
| Sentiment | negative |
| Relevance Score | 1 |
| People | Jesse Powell, Gary Gensler |
| Companies | Payward Inc., Payward Ventures Inc., Kraken, SEC |
| Currencies | US Dollar |
| Securities | None |
