Kraken must face SEC suit over crypto exchange


FILE PHOTO: Kraken cryptocurrency exchange logo is seen in this illustration taken July 28, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

San Francisco: Cryptocurrency platform Kraken must face a US Securities and Exchange Commission (SEC) lawsuit accusing it of operating an unregistered securities exchange, a judge has ruled.

“The SEC has plausibly alleged that at least some of the cryptocurrency transactions that Kraken facilitates on its network constitute investment contracts, and therefore securities, and are accordingly subject to securities laws,” US District Judge William H. Orrick wrote in an opinion published last Friday in San Francisco federal court.

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Kraken , probe , SEC

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