Aug 3, 2022 11:13 UTC
Aug 3, 2022 at 11:13 UTC
Binance US Delists Crypto Token ‘out of an Abundance of Caution’ once SEC Says it is a Security
Binance’s U.S. platform is delisting crypto tokens once the Securities and Exchange Commission (SEC) declared it a security. Another crypto exchange, Coinbase, disagreed with the regulator, tilt that the token isn’t a security.
Binance Delists AMP ‘out of an abundance of Caution’
Binance’s U.S. exchange (Binance US) is taking action to confirm that crypto tokens the U.S. Securities and Exchange Commission (SEC) has declared to be securities aren’t listed on its platform. The SEC recently aforementioned during a case against a former Coinbase product manager that 9 crypto tokens square measure securities. they’re AMP, RLY, DDX, XYO, RGT, LCX, POWR, DFX, and KROM.
Binance US explained:
In its suit, the SEC named 9 digital assets that it alleges are securities. of those 9 tokens, solely amp (AMP) is listed on the Binance.US platform.
“Out of An abundance of caution, we’ve determined to delist the AMP token from Binance.US, effective August 15, 2022,” the crypto exchange proclaimed on the weekday.
Binance US is careful that on August 15, AMP deposits on its platform are closed at 9:00 p.m. EDT and therefore the AMP/USD commercialism combine are removed at 11:00 p.m. EDT. “All trade orders are mechanically removed once commercialism ceases for the commercialism combine,” the announcement states.
The exchange processed that it’s taking this step till a lot of clarity exists round the classification of the cryptocurrency, adding that the coin might resume commercialism at some purpose within the future.
The price of AMP fell sharply following the delisting announcement by Binance North American nation. At the time of writing, AMP is at $0.0081411, down 11% within the past twenty four hours.
While Binance North American nation has taken a cautious approach to crypto tokens that will be deemed securities by the SEC, the Nasdaq-listed cryptocurrency exchange Coinbase has chosen to fight the securities regulator.
Following the case against its former worker, Coinbase revealed a journal post stating that it doesn’t list any securities. The exchange’s chief legal officer, Paul Grewal, wrote: “Coinbase doesn’t list securities on its platform. finish of story.” the manager additionally criticized the SEC, stating: “Instead of getting a dialogue with North American nation regarding the seven assets on our platform, the SEC jumped on to legal proceeding.”
Last week, reports surfaced that the SEC may be work Coinbase over its listings of crypto securities.