Kraken SEC Settlement News: The crypto market is in danger of facing an imminent crash due to the effect of consecutive shock news. According to an official announcement, the exchange reached an agreement with the US Securities and Exchange Commission (SEC) by agreeing to shut down his crypto betting service and $30 million in fines. Things seem to have moved fast between both parties after it was previously said that a deal could be reached in the "next few days". Kraken was facing an SEC investigation into whether he offered unregistered securities.
Also read: Why the next Polygon (MATIC) update couldn't come at a better time
Crypto Market Reacts to Kraken SEC News
Meanwhile, the cryptocurrency market is falling sharply in reaction to the Kraken SEC liquidation news. In a very short span of time, Bitcoin (BTC) lost around $600 in value to the current level of $22,000. At the time of writing, the price of BTC sits at $22,025, down 3.75% in the last 24 hours. Based on current market sentiment, BTC is more likely to fall further.
On the other hand, the main crypto exchange Binance said it would temporarily suspend US dollar deposits and withdrawals. This led to speculation about the challenge of trading with banking partners in the United States. The company said in a statement was working to restart the service as soon as possible.
Also read: LocalBitcoins to Shut Down Service, Crypto Community Distressed
Crypto Stake: Targeted by the SEC?
Much has been made about cryptocurrency staking as a service after Coinbase CEO Brian Armstrong stated that the The SEC was about to place a ban bet. He said that there were rumors that the SEC was planning to ban cryptocurrency staking for retail investors. The latest news about Kraken's offer to shut down its staking service only reiterates the SEC's intentions.
Also read: Are these tokens the future of crypto gaming in 2023?
Will the impact of SEC actions on the crypto market linger over the next few weeks? Or could there be a capital shift from altcoins to Bitcoin (BTC)?
The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrency. The author or publication has no responsibility for your personal financial loss.
