- Crypto investors are closely monitoring the ongoing regulatory crackdown by the US Securities and Exchange Commission (SEC).
- Bitcoin’s recent price decline and the slides experienced by other tokens indicate the volatility and sensitivity of the crypto market to regulatory news.
- The debate around the classification and regulation of cryptocurrencies highlights the need for collaboration between industry participants and regulatory bodies.
The ongoing impact of the regulatory measures initiated by the U.S. Securities and Exchange Commission (SEC) last week is continuing to influence the crypto market situation, reported Bloomberg.
The crypto sector is currently witnessing an extensive crackdown by the U.S. SEC, causing shockwaves throughout the industry. The regulatory agency has taken legal action by filing lawsuits against two major global cryptocurrency exchanges, Binance and Coinbase.
The U.S. SEC recently declared Solana (SOL), Cardano (ADA), and Polygon (MATIC) as unregistered securities in its recent lawsuits against Binance and Coinbase. Currently, ADA is trading at a price of $0.2823, with trading volume down by 25.62% in the last 24 hours, as per CoinMarketCap (CMC) data.
Bitcoin encountered a minor setback, with a 1.1% decline, bringing its value to $25,844. This decline followed a more substantial drop of 3.9% on Saturday. Polygon’s MATIC experienced a slide of 3.3%, while Chainlink’s LINK witnessed a 2.7% drop.
Meanwhile, Solana Foundation denied SEC allegations, asserting that SOL is not a security and is the native token to the Solana blockchain, a robust, open-source, community-based software project that relies on user and developer engagement to expand and evolve.
The recent actions by the SEC are not well received by the crypto community with the crypto exchanges seeing major outflows from their platforms amid panic in the market.
A part of the crypto community is rallying behind the ‘Stand With Crypto’ NFT project introduced by Coinbase, joining forces to express their backing for the industry and urge for regulatory transparency.
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