New Report: Digital currency platforms must be registered with the Securities and Exchange Commission
The Securities and Exchange Commission (SEC) issued a new report warning against the risks of unregistered trading platforms and stated that all trading platforms that trade digital assets that are securities must be registered with the Securities and Exchange Commission (SEC).
Does this mean that all trading platforms must register with the Securities and Exchange Commission (SEC)?
On March 7, 2018, the Securities and Exchange Commission (SEC) published a report on the current state of the digital currency platforms and potential risks to investors. The report notes that some currency support, digital assets and digital currencies can be classified as "securities" and therefore all trading platforms must be registered with the Securities and Exchange Commission and comply with the necessary regulations. The report refers to:
"If the Statute introduces the circulation of digital assets that are securities and acts as a" trading platform ", as defined in the Federal Securities Act, the Statute shall register with the Securities and Exchange Commission as national securities or be exempted from registration"
The US Securities and Exchange Commission is also concerned that various parties are trading in illegal stock exchanges or being exposed to fraud through these platforms. Even if the trading platform allows only major currencies to be traded, the SEC, or other regulators, does not control any of the trading currencies. Finally, many of these platforms give the impression that they perform trade-like functions by providing a record of sales and purchase orders and data on implementation processes on the system, but there is no reason to assert that this information has the same integrity as the national stock exchanges. The Securities and Exchange Commission recommends that investors and traders correctly verify that the platform is registered, regulated, documented, and available to all users.
Source: https://www.Bitcoinist.com