Kris Marszalek, co-founder and CEO of Crypto.com, made the case public on October 8. He said that the exchange would use all of its legal tools to make sure that crypto regulation was clear. Marszalek made it clear that the SEC’s actions have hurt millions of crypto users in the US and go beyond what the agency is allowed to do.
The main point of Crypto.com’s case is that the SEC has illegally gone beyond what the law allows by making a rule that treats most deals involving cryptographic assets as stocks. The exchange says that the SEC made these rules without giving enough warning or asking the public for feedback, which is required by law. Crypto.com says that similar deals involving Bitcoin (BTC) and Ethereum (ETH) are not stocks, which shows that the SEC’s method is not consistent.
Along with the case, Crypto.com has also asked the U.S. Commodity Futures Trading Commission (CFTC) and the SEC to work together to make it clear that the CFTC should be in charge of regulating certain coin derivatives. The exchange thinks that setting rules that are clear and fair is important for the long-term health of the crypto business in the U.S.
Crypto.com has told its users that the legal problems won’t affect how it does business. The company is still adding more services and working toward its goal of using crypto in everyday deals. This shows that it is still optimistic about the future of the crypto market in the U.S.
The legal fight between Crypto.com and the SEC shows a trend that is growing in the crypto business. A lot of other big players, like Binance and Ripple, have also spoken out against what they see as too strict and pointless regulation. Even though the U.S. crypto scene is still changing, these law issues could have a big impact on the future of digital assets in the country.
