SEC Framework Complicates Digital Asset Secondary Trading

By Clara Krivoy and Edgard Alvarez (September 9, 2019, 3:27 PM EDT) -- Last June, Binance Holdings Ltd., operator of the popular digital asset trading venue Binance.com, announced that U.S. residents would no longer be able to register to use its services, and that as of Sept, 12, existing U.S. account holders would no longer be able to trade on its platform.[1] Similarly, in July, Boston-based Circle Internet Financial Ltd., a self-described "new kind of global financial services company" and the operator of digital trading platform Poloniex, announced it was moving most of its exchange operations to Bermuda.[2] In both instances, the decisions were attributed to growing regulatory pressure or a tightening regulatory environment in the U.S.[3]...

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