Breaking: SEC Hits Poloniex With $10M Fine For Violating Securities Laws
After falling under severe clampdown by the SEC, the Boston-based crypto exchange Poloniex is reported to resolve the case by paying over $10 Million as settlement charges to the regulator.
According to a press release issued by the United States SEC on August 9, crypto exchange Poloniex has breached investor protection laws by not registering itself as a ‘securities broker’ with the federal regulators. Allegedly, the exchange operated illegally and offered the investors to trade digital assets, deemed as security for consecutive two years, from 2017 to 2019.
The SEC’s indictment also proclaimed that Poloniex employees wanted the exchange to function ‘aggressively’ by offering additional digital assets to the traders so that the market share of the broker increases significantly. All these charges and the ensuing settlement was made with the exchange neither agreeing to the SEC’s charges nor denying it.
The story is under development and will be updated shortlySource