In recent days, the Securities and Exchange Commission (SEC) published a statement informing investors that the cryptocurrency trading platforms are not in fact regulated.
“The SEC staff has concerns that many online trading platforms appear to investors as SEC-registered and regulated marketplaces when they are not. Many platforms refer to themselves as “exchanges,” which can give the misimpression to investors that they are regulated or meet the regulatory standards of a national securities exchange. Although some of these platforms claim to use strict standards to pick only high-quality digital assets to trade, the SEC does not review these standards or the digital assets that the platforms select, and the so-called standards should not be equated to the listing standards of national securities exchanges.”
Following the statement, Bittrex, one of the largest exchanges in the world, has announced that it intends to work with all the regulatory bodies to create a safe environment for cryptocurrency trading.
“As a US-based digital currency exchange, Bittrex is committed to including new blockchain technology projects and offering innovative, client-friendly digital tokens. Bittrex uses a robust digital token review process to ensure that tokens listed in the exchange comply with US law and are not considered securities. Bittrex is committed to helping advance global US leadership in this emerging industry and we look forward to continuing our proactive dialogue with the SEC and other regulators on how to build a safe and fully regulated blockchain environment that encourages innovation and economy growth. “