Bittrex agrees to pay a $24M fine to the SEC

The United States Securities and Exchange Commission (SEC) has revealed that Bittrex, a prominent player in the area of cryptocurrency exchange space, has reached an agreement to pay a fine as part of a settlement concerning regulatory allegations.

The fine will be paid in accordance with the terms of the settlement. This new development highlights the SEC’s commitment to enforcing compliance within the ever-changing landscape of cryptocurrency.

The Securities and Exchange Commission (SEC) disclosed in an official statement that was made public today through their Twitter profile, that Bittrex has decided to settle the regulatory dispute by agreeing to pay the stipulated fine.

The settlement centres around allegations of violations of securities law and improper regulatory practices related to various digital assets are at the center of the settlement.

The resolution paves  the way for Bittrex to move forward with its business while putting the ongoing dispute with regulators in the past.

However, the agreement also highlights the necessity for exchanges to implement robust compliance measures in order to effectively navigate the evolving regulatory landscape.

In the press release issued by the SEC, it was alleged that Bittrex had collaborated with token issuers to ‘scrub’ their online statements of any indication that they were investment contracts. This was done to circumvent the federal securities laws.

Bittrex and Bittrex Global have agreed to pay a total of $24 million, wbroken down as follows: $14.4 million will be paid as disgorgement, $4 million will be paid in prejudgment interest, and $5.6 million will be paid as a civil penalty.

Read also: Bitstamp set to Halt trading of Digital Assets Identified by the SEC as Securities for U.S. Users

What do you think of this article? Share your thoughts below