Crypto.com joins industry colleagues in suing US SEC

“Today we filed a lawsuit against the SEC to protect the future of cryptocurrencies in the United States”

The crypto exchange, on the other hand, commented on its action as follows:

“Today, Crypto.com filed a complaint against the United States Securities and Exchange Commission (SEC). We’re doing this to protect the future of the U.S. cryptocurrency industry, alongside many of our colleagues. who are actively defending themselves and taking action against a deceptive federal agency acting beyond its legal authorities.

In practice, after receiving a Wells notice, Crypto.com decided to actively defend itself regarding crypto regulation.

His petition aims to illustrate how the SEC continues an unauthorized and unfair regulatory campaign.

Specifically, the lawsuit filed by Crypto.com argues that the SEC unilaterally extended its jurisdiction beyond legal limits. Not only that, separately, the SEC established an illegal rule that trades of almost all cryptos are securities transactions, regardless of how they are sold, while identical transactions in Bitcoin (BTC) and Ethereum (ETH) are not.

Crypto.com and its petition: “the SEC’s actions towards the sector leave us with no other choice”

Beyond what has already been said, Crypto.com has decided to use the regulatory tools available to help bring certainty to the sector.

In fact, his cause continues with a petition to the CFTC and the SEC. Here the aim is to confirm, through a common interpretation, that certain cryptocurrency derivative products are regulated exclusively by the CFTC.

In practice, Crypto.com wishes highlight the process whereby any market participant can ask the CFTC and the SEC whether a product is a “swap,” a “securities-based swap,” or a “mixed swap.”

Under the joint rules, the CFTC and SEC have 120 days to issue a jointly approved interpretation (also requiring public comment) or to reject an interpretation. If they decide to refuse it, they must nevertheless provide publicly, in writing, the reasons why they are not issuing it.

In addition, to give their verdict on derivative products, agencies must consult with the Board of Governors of the Federal Reserve (the Fed) and may also undertake joint regulatory activity in consultation with the Fed.

Crypto.com’s mission is to succeed in lifting the entire crypto sector through compliance with regulations. Here are his words:

“We are confident that our internationally recognized commitment to regulatory compliance and recent court rulings against the SEC’s claims against cryptocurrency industry participants place us in a winning position to challenge their unfair actions. Although unfortunate, we are confident that the United States judiciary will help provide much-needed oversight of the current SEC leadership’s arbitrary actions against cryptocurrencies and validate our assertions. Our success in this matter will reaffirm our operational compliance for the benefit of our customers and the entire category in the United States. »

The price of Cronos (CRO)

While the platform is engaged in its case against the American SEC, the price of its crypto Cronos (CRO) does not seem to reflect great enthusiasm from investors.

At the time of writing, CRO is worth $0.076, down 3.6% in the last 24 hours. However, during these 24 hours, the price of CRO has fell to $0.074, and therefore, the current price could also prove to be a recovery.

In addition to its price, CRO’s market cap also dropped to $2 billion, causing the crypto to slide towards the 42nd place. In mid-September, for example, CRO was in 37th position.

This means that the general CRO trend, after months of suffering, has not yet recovered, being overtaken by other crypto projects.