BREAKING: Crypto.com Files Lawsuit Against SEC

Crypto.com has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC) to defend the cryptocurrency industry against what it deems overreach by the agency.

The legal action follows a Wells notice from the SEC, which Crypto.com claims demonstrates the agency’s unauthorized regulation of cryptocurrency transactions.

The lawsuit argues that the SEC has extended its jurisdiction beyond legal limits and established an unjust rule that classifies nearly all crypto transactions as securities, except for those involving Bitcoin (BTC) and Ethereum (ETH). Crypto.com contends this rule was implemented without proper public comment and that the SEC’s enforcement actions are inconsistent.

Additionally, Crypto.com | Derivatives North America (CDNA) has petitioned both the SEC and the Commodity Futures Trading Commission (CFTC) for clarity on whether certain crypto derivatives are solely regulated by the CFTC, aiming to establish clear guidelines.

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Despite the lawsuit, Crypto.com remains committed to compliance, holding over 40 state money transmitter licenses and emphasizing its role as a leader in regulatory approvals worldwide. The company is hopeful that the judicial system will check the SEC’s actions and validate its claims while continuing its mission to enhance cryptocurrency accessibility.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.