The U.S. federal court dismissed Kraken's request to dismiss the SEC lawsuit

ChainCatcher news, according to Cointelegraph, the federal court in Northern California denied cryptocurrency exchange Kraken's request to dismiss the SEC lawsuit in a ruling on August 23. The SEC accused Kraken of operating an unregistered securities trading platform, and the court found the SEC's allegations that certain cryptocurrency transactions on the Kraken platform constitute investment contracts to be reasonable. A final ruling in the case has yet to be made.

Kraken's Chief Legal Officer Marco Santori stated that they will prove these transactions do not meet the requirements of the Howey test.