eToro Settles with SEC, Reduces Crypto Offerings
eToro, a global trading platform, has settled charges with the U.S. Securities and Exchange Commission (SEC) related to operating as an unregistered broker and clearing agency. As part of the settlement, eToro will pay a $1.5 million penalty and significantly reduce its crypto offerings in the U.S.
Restricting Crypto Offerings to Three Tokens
Under the settlement, eToro will limit trading access to just three cryptocurrencies for U.S. customers: Bitcoin, Ethereum, and Bitcoin Cash. Other crypto assets will no longer be available for trade, and users will have 180 days to sell their holdings before trading access is restricted. The settlement comes as the SEC continues to regulate the crypto industry, focusing on platforms that offer trading of unregistered securities.
Adapting to Regulatory Scrutiny
eToro’s decision to limit its crypto offerings is part of its effort to comply with U.S. regulations. The move also highlights the growing regulatory pressure on crypto trading platforms in the country, as the SEC continues to enforce stricter rules on the digital asset market.
Information Source by Decrypt.
