eToro Agrees to SEC Settlement
The U.S. Securities and Exchange Commission (SEC) reached a settlement with eToro, a trading platform, resolving allegations that the company failed to register as a broker. eToro has agreed to pay $1.5 million in fines and limit cryptocurrency trading for U.S. users to only BTC, BCH, and ETH.
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The U.S. Securities and Exchange Commission (SEC) reached a settlement with eToro, a trading platform, resolving allegations that the company failed to register as a broker. eToro has agreed to pay $1.5 million in fines and limit cryptocurrency trading for U.S. users to only BTC, BCH, and ETH.
The SEC stated that eToro has been in violation of federal laws since 2020, offering American users access to cryptocurrencies that may be considered securities. The platform given its U.S. customers six months to sell any restricted cryptocurrencies.
The $1.5 million penalty reflects eToro’s agreement to cease violating applicable federal securities laws as it continues its U.S. operations,
said Gurbir S. Grewal, Director of the SEC’s Division of Enforcement.
eToro has not admitted or denied the SEC’s charges but agreed to follow all conditions and pay the fine. The company also announced that it is ready to resume trading the restricted cryptocurrencies once the U.S. government establishes a comprehensive regulatory framework for the market.
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