The U.S. Securities and Exchange Commission (SEC) is reportedly planning to sue Paxos, the issuer of the Pax Dollar (USDP) and Binance USD (BUSD) stablecoins, over the latter. The SEC alleges that BUSD is an unregistered security. This news comes days after Paxos was reported to be under investigation by the New York Department of Financial Services, though the scope of the investigation is unclear. The SEC has declined to comment on the existence or nonexistence of a possible investigation. This lawsuit could have a major impact on the cryptocurrency industry, as it could set a precedent for how stablecoins are regulated in the U.S.
BUSD is a stablecoin issued by Paxos, a New York-regulated trust company with a provisional charter from the Office of the Comptroller of the Currency. BUSD is branded by Binance, a leading cryptocurrency exchange. Paxos, the SEC, and Binance have not yet commented on the stablecoin. BUSD is a secure and reliable way to store and transfer value, and is backed by the US Dollar, making it a great choice for those looking for a stablecoin to use in their cryptocurrency transactions.
The U.S. Securities and Exchange Commission (SEC) has announced that it has settled charges with crypto exchange Kraken. The SEC alleged that Kraken’s staking services were an offering of unregistered securities, and Kraken has agreed to shut down all of its U.S. staking programs. The settlement comes after the SEC has been cracking down on crypto exchanges that are offering unregistered securities. The SEC is committed to protecting investors and ensuring that crypto exchanges are operating in compliance with the law. Kraken has not admitted or denied the charges, but has agreed to the settlement terms. This is a reminder that crypto exchanges must be compliant with the law in order to protect investors.
