Every crypto exchange is under investigation by the Securities and Exchange Commission (SEC), claims an official from U.S. Senator Cynthia Lummis\u2019 office. Lawyer John E. Deaton may have correctly predicted that SEC Chair Gary Gensler is going to \u201csue an exchange whether it\u2019s Coinbase, Binance, or another exchange by the end of the year.\u201d<\/p>\n
All Crypto Exchanges Targeted by SEC Chair Gary Gensler<\/h2>\n
A staffer from U.S. Senator Cynthia Lummis\u2019 office said all crypto exchanges in the U.S., as well as Binance, are under investigation by the SEC, reports<\/a> Forbes on August 4.<\/p>\n XRP lawyer John E. Deaton in a recent tweet<\/a> reaffirmed his earlier statement that the SEC is likely to sue another exchange this year.<\/p>\n \u201d I say the SEC will sue an exchange or more than one. The SEC is likely to pick 2-4 exchanges that each sale 5-10 of the same tokens the SEC claims are securities. It could be 1 Complaint vs <\/span>several defendants.\u201d<\/span><\/p>\n<\/blockquote>\n The SEC investigation into Coinbase\u2019s listing of unregistered securities<\/a> is already known. Moreover, SEC Chair Gary Gensler is reportedly looking for other charges on the crypto exchange. Earlier reports also show that the SEC is reportedly investigating Binance\u2019s\u00a0initial coin offering<\/a> of its crypto token\u00a0Binance Coin (BNB) in 2017.<\/p>\n The SEC claims most cryptocurrencies are securities and comes under the jurisdiction of the commission. Gary Gensler earlier in June this year asserted that all cryptocurrencies other than Bitcoin are securities.<\/p>\n The \u201cregulation by enforcement\u201d has been criticized by Commodity Futures Trading Commission (CFTC) Commissioner Caroline Pham<\/a>, legislators, and crypto experts.<\/p>\n Cynthia Lummis\u2019 staffer believes the U.S. Congress would eventually pick the CFTC for regulating the crypto industry if the dispute is not resolved internally. Former SEC director William Hinman\u2019s in a 2018 speech said \u201cEthereum is not a security.\u201d It is also one of the strong pieces of evidence in the SEC v. Ripple case.<\/p>\n A crypto exchange has also revealed that the SEC has already sent Wells Notices to U.S. exchanges informing them of actions to be brought against them.<\/p>\n Two bipartisan crypto-related bills have been proposed in the U.S. Senate so far, both claim CFTC jurisdiction over cryptocurrencies. However, both bills are unlikely to pass this year.<\/p>\n The Responsible Financial Innovation Act<\/a> by Senators Cynthia Lummis and Kirsten Gillibrand in June for regulating digital assets. The Digital Commodities Consumer Protection Act<\/a> by Senators Debbie Stabenow and John Boozman yesterday classified Bitcoin and Ethereum as commodities, giving more jurisdiction to CFTC.<\/p>\n\n
Crypto Bills Proposing CFTC Jurisdiction Over Cryptocurrencies<\/h2>\n
![\"\"](\"https:\/\/secure.gravatar.com\/avatar\/f187fb5b7b3b0b9367ef83384cb40d5f?s=200&d=mm&r=g\")