According to breaking news, cryptocurrency exchange Crypo.com has received a WELLS Notice from the SEC, which means that a lawsuit may be filed.
Making an official statement on the subject, the stock exchange Wells acknowledged that they received the notification and stated that they filed a lawsuit against the SEC after receiving this notification.
The exchange said it filed the lawsuit against the SEC because “the SEC has unilaterally expanded its jurisdiction beyond its statutory limits and has created an unlawful rule that virtually all cryptocurrency transactions, regardless of how they are sold, are securities transactions.”
“Today, Crypto.com filed a lawsuit with the U.S. Securities and Exchange Commission (SEC). We are doing so to protect the future of the crypto industry in the U.S. and join a number of our colleagues who are actively defending and taking action against a misguided federal agency that is acting beyond its authority under the law.
Our decision to file a lawsuit with the SEC follows the Wells notice we received from Commission staff.
This notice shows that the SEC’s intrusive and unfair regulatory approach continues despite indications that the next administration will take a more constructive and effective approach to advancing crypto in the United States.
While it is an unprecedented move for our company to file a lawsuit against a federal agency, that agency's actions against our industry have left us with no other choice.”
The company claims that the SEC has only singled out Bitcoin (BTC) and Ethereum (ETH) transactions, and has deemed all other cryptocurrency transactions to be securities, thereby imposing an unlawful rule.
The stock exchange stated in its statement, “This unlawful regulation has never gone through the notification and comment process stipulated in the Administrative Procedure Law and is also extremely arbitrary.”
*This is not investment advice.
