The U.S. SEC accuses cryptocurrency exchange Bittrex of violating federal laws

ChainCatcher news, the U.S. Securities and Exchange Commission (SEC) stated that the cryptocurrency exchange Bittrex operated as a national securities exchange, broker, and clearing agency, violating federal regulations. Former CEO Bill Shihara and Bittrex Global GmbH are also facing charges.

Since at least 2014, Bittrex has positioned itself as a platform facilitating the buying and selling of cryptocurrency assets, while the SEC's complaint alleges that these assets were offered and sold as securities. From 2017 to 2022, Bittrex generated at least $1.3 billion in revenue from investors, including U.S. investors, while providing services as a broker, exchange, and clearing agency without registering any of these activities with the Commission.

SEC Chair Gary Gensler stated, "Today's action reaffirms that the cryptocurrency market lacks regulatory compliance, not a lack of regulatory clarity." (source link)