25 C
Accra, Ghana
July 11, 2020
Image default
Blockchain Ethereum News

SEC Charges EtherDelta for Operating Unregistered Exchange

 

Though crypto brings economic freedom to so many people yet one of the biggest challenge the industry facing right now is regulation issues. Today the US Security and Exchange Commission charged the founder of EtherDelta for operating an unregistered exchange. The  SEC immediate release today November 8, 2018, stated emphatically in a press release that they had settled charges against the founder of EtherDelta, Zachary Coburn for operating an unregulated cryptocurrency exchange.

According to the US Security and Exchange Commission, the founder of EtherDelta allowed the exchange to engaged in business as unregistered under the national securities exchange as well as trading tokens that are securities under Federal security laws, such as the DAO tokens which is security. That platforms that offer trading of assets like that will be subjected to the SEC to make sure that exchange is registered and operates base on the SEC requirement for the trading of such digital assets. EtherDelta traded various tokens and failed to register with SEC  to qualify for absolution said, Co-Director of SEC Enforcement Division, Stephanie Avakian. The founder of EtherDelta admitted the finding and agreed to pay $300,000 in disgorgement, $13,000 in prejudgment interest, and $75,000 penalty. And I am  sure there will be more of this kind enforcement yet to come.

EtherDelta is a decentralized trading platform that allows you to trade Ether and Ethereum-based tokens directly with other users. You are responsible for your own account, funds, and private keys. it is a  digital asset trading platform that brings together buyers and sellers on the platform to trade using the smart contract that runs on the Ethereum  Blockchain. It is the market place for most of the ERC20 tokens that run on the Ethereum Blockchain. Over a year now, EtherDelta is estimated to have executed orders of about 3.6 million for ERC20 tokens and other security tokens which is quite amazing.

I am Crypto Ras.

Related posts

Samsung Confirmed Galaxy S10 features include Built in Cryptocurrency Wallet

I Am CryptoRas

Trading And Payment In Bitcoin/Crypto is Tax Free In Portugal According To Tax Authorities.

I Am CryptoRas

Poloniex is Leaving the US, Banning all US customers and Leaving Circle.

I Am CryptoRas

83 comments

Leave a Comment