• Trading platform eToro is halting purchases of Polygon (MATIC), Algorand (ALGO), Decentraland (MANA) and Dash (DASH) for US customers after the US Securities and Exchange Commission labeled them as securities.
• The ban goes into effect on July 12th, 2023 and US customers will still have the ability to hold and sell these assets.
• Other crypto trading platforms such as Robinhood have also made similar moves in response to the SEC’s lawsuits.
Crypto Platform eToro Halts Purchases of Four Altcoins Amid SEC Crackdown
Popular social trading platform eToro announced that it will be halting purchases of layer-2 scaling solution Polygon (MATIC), smart contract platform Algorand (ALGO) and two other altcoins for US customers due to a recent crackdown by the US Securities and Exchange Commission.
Ban Goes into Effect on July 12th
The ban goes into effect on Wednesday July 12th, 2023, meaning that US customers will no longer be able to open new positions in ALGO, MANA, DASH or MATIC starting from that date. Customers can continue to hold and sell existing positions in these coins however.
Other Crypto Trading Platforms Making Similar Moves
Other crypto trading platforms have made similar moves in response to the SEC’s lawsuits. Trading giant Robinhood is delisting Solana (SOL), Cardano (ADA), and Polygon starting June 27th due to their labelling of these altcoins as securities.
Altcoin Prices Drop Following SEC Lawsuits
Many altcoins collapsed in price last week due to the regulatory body’s lawsuits, including large-cap tokens ADA, MATIC and SOL.
eToro Committed to Working Closely with Regulators
eToro says they remain supporters of crypto assets but are committed to working closely with regulators around the world in order shape the future of the industry for ordinary investors.