Bittrex Slams SEC In Official Response, Vows To Take Legal Action

Bittrex has officially responded to the U.S. SEC’s lawsuit which came early on Monday alleging that the Seattle-based crypto exchange operated “an unregistered national securities exchange, broker, and clearing agency.” Additionally, the financial watchdog charged Bittrex’s parent company Bittrex Global GmbH and its founder for failing to register as a securities exchange over its operation of a single shared order book.

Bittrex Denounces SEC’s Anti-Crypto Stance

In response to SEC’s lawsuit, Bittrex claimed that the agency’s decision to bring an enforcement action against the exchange was part of SEC Chief Gary Gensler’s larger crusade to drive the crypto sector out of the United States. While speaking about the far-reaching influence of SEC’s recent actions, the firm was quoted as saying:

The impact of the SEC’s approach to regulation by enforcement will have a chilling effect on not just cryptocurrency in the United States, but on blockchain technology and innovation in general.

According to the official statement, Bittrex re-iterated its stance on meeting regulatory compliance while being operational and alleged that it did reach out to the agency multiple times in seeking clear regulatory guidance. Furthermore, the company said that it had repeatedly requested that the regulatory body clarify the different digital assets that it considered to be securities, in order for the exchange to evaluate and potentially delist them. However, according to Bittrex’s response, the SEC has turned a deaf ear.

Read More: Is Coinbase Next After Bittrex? Former US SEC Official Makes Shocking Prediction

Bittrex To Challenge SEC In Court

According to what can be gleaned from Bittrex’s statement, the company is unwavering in its commitment to litigating against the regulatory agency in the federal courts. Bittrex asserts that it has always done business in accordance with the legal framework, and the company is looking forward to “vindicating their position in court.”

This indicates that the cryptocurrency exchange is reluctant on reaching a settlement by paying a hefty fine, as many other cryptocurrency companies have done in the past. For instance, Kraken had agreed to pay a settlement of $30 million, whereas Nexo was required to pay $45 million in penalties.

Also Read: Apple’s Latest Move Could Challenge DeFi; Launches High-Yield Savings Account

Pratik has been a crypto evangelist since 2016 & been through almost all that crypto has to offer. Be it the ICO boom, bear markets of 2018, Bitcoin halving to till now – he has seen it all.

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