The SEC charges Kraken with operating as an unregistered securities exchange!

The post The SEC charges Kraken with operating as an unregistered securities exchange! appeared first on Coinpedia Fintech News

The SEC has charged Kraken with operating as an unregistered securities exchange, broker, dealer, and clearing agency. The SEC alleges that Kraken has facilitated the buying and selling of crypto asset securities since September 2018, making hundreds of millions of dollars unlawfully. Kraken’s failure to register these functions has deprived investors of significant protections, including inspection by the SEC, recordkeeping requirements, and safeguards against conflicts of interest. The SEC’s complaint also alleges that Kraken’s business practices, deficient internal controls, and poor recordkeeping practices pose significant risks for its customers, including commingling customer funds and crypto assets with its own. Now, they are seeking injunctive relief, conduct-based injunctions, disgorgement of ill-gotten gains plus interest, and penalties.