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Accra, Ghana
October 22, 2019
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Blockchain Ethereum News

SEC Charges EtherDelta for Operating Unregistered Exchange

 

Though crypto brings economic freedom to so many people but 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 and that platforms that offers trading of assets like that will be subjected to the SEC to make sure that exchange is registered and operate base on the SEC requirement for 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 am  sure  there will be more of this kind enforcement yet  to come.

EtherDelta is a decentralized trading platform that lets you 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 runs 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  quiet amazing.

I am Crypto Ras.

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