- Bitstamp suspended trading of multiple altcoins in response to US SEC’s classification.
- The exchange has stopped trade for AXS, CHS, MANA, MATIC and more.
- SEC designates 10 cryptocurrencies, including BNB and SOL, as securities during the Binance case.
The US SEC’s decision has lead to cryptocurrency exchange Bitstamp announcing suspension for multiple altcoins, effective from August 29. Earlier, today Bitstamp tweeted that US users will no longer be able to trade altcoins including Axie Infinity (AXS), Chiliz (CHZ), Decentraland (MANA), Polygon (MATIC), NEAR Protocol (NEAR), The Sandbox (SAND), and Solana (SOL).
The SEC has a list of 68 cryptocurrencies classified as “securities.” During the regulator’s legal action against Binance, the SEC designated 10 additional cryptocurrencies as securities, including Binance Coin (BNB), Binance USD (BUSD), Solana (SOL), Cardano (ADA), Polygon (MATIC), Cosmos (ATOM), The Sandbox (SAND), Decentraland (MANA), Axie Infinity (AXS), and COTI (COTI).
Bitstamp attributed the suspension to “recent development,” furthermore noting,
At Bitstamp, we have a comprehensive framework in place to continuously evaluate the cryptocurrencies we provide, taking into account the dynamic regulatory environment. Considering recent developments, we are making some changes to our crypto offerings—specifically for our customers residing in the United States.
However, the exchange shared that despite the suspension of trading activities for these seven tokens, users will retain the ability to maintain them within their accounts and perform withdrawals whenever they wish.
At the time of writing, CoinGecko reported that in the last 24 hours, Bitstamp has generated an approximate trading volume of about $173 million
The altcoins have protested against SEC’s verdict. In June, the Solana Foundation tweeted that it “disagrees with the characterization of SOL as a security,” while expressing its openness to involving policymakers in discussions to establish legal definiteness within the realm of digital assets.
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