In light of the current regulatory climate, cryptocurrency asset platform Bakkt has made the decision to delist three cryptocurrencies. According to a report from Fortune on June 16, Bakkt’s general counsel has emphasized that the platform intends to expand its selection of coins once there is “greater clarity” regarding regulations.
Bakkt Reacts to Regulatory Pressure, Delists Solana, Polygon, and Cardano
New York-based digital asset platform Bakkt recently announced its delisting of solana (SOL), polygon (MATIC), and cardano (ADA). This move comes as the U.S. Securities and Exchange Commission (SEC) intensifies its scrutiny of cryptocurrency platforms and identifies certain assets as unregistered securities.
The announcement regarding Bakkt’s removal of SOL, MATIC, and ADA was made by the company’s general counsel and secretary, Marc D’Annunzio, in an interview with Fortune. D’Annunzio clarified that this proactive step will continue “until there is greater clarity on how to legally offer a wider range of coins.”
Prior to Bakkt’s decision, Robinhood, a digital trading platform, had already chosen to delist cardano (ADA), solana (SOL), and polygon (MATIC). Additionally, Etoro, based in Tel Aviv, announced the delisting of ALGO, MANA, DASH, and MATIC for U.S. customers, citing similar reasons. Both Robinhood and Etoro stated that they are implementing these proactive measures until regulatory clarity is established in the United States.
All tokens previously listed on Bakkt, Robinhood, and Etoro, which were subsequently delisted, have been classified as unregistered securities by the U.S. SEC. The SEC’s enforcement lawsuits have also identified XRP, TON, OMG, POWR, BTT, KIN, TRX, MIR, EMAX, ALGO, and IHT, among others, as securities.
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Do the recent delistings by Bakkt, Robinhood, and Etoro represent necessary steps toward regulatory compliance, or do they impede innovation in the cryptocurrency space? Share your thoughts and opinions on this subject in the comments section below.
Frequently Asked Questions (FAQs) about cryptocurrency delistings
Are the recent delistings by Bakkt, Robinhood, and Etoro a necessary step towards regulatory compliance, or do they hinder innovation in the cryptocurrency space?
The recent delistings by Bakkt, Robinhood, and Etoro can be seen as a necessary step towards regulatory compliance. These platforms are responding to increased regulatory scrutiny and designations of certain assets as unregistered securities by the SEC. The delistings aim to ensure compliance with regulations and mitigate potential legal risks. However, some may argue that these actions hinder innovation in the cryptocurrency space by limiting the range of available coins for trading. It is a complex issue with differing perspectives on striking a balance between regulatory compliance and fostering innovation.
More about cryptocurrency delistings
- Fortune Report on Bakkt’s Delistings
- SEC’s Scrutiny of Cryptocurrency Platforms
- Robinhood’s Delisting Announcement
- Etoro’s Delisting Announcement