Filecoin (FIL) barely moves after the SEC tells the grayscale token is a security

[ad_1]

  • The US Securities and Exchange Commission sent a comment letter to Grayscale stating that the company is selling an FIL, an unregistered security.
  • Grayscale responded to the SEC explaining why FIL is not a security.
  • The FIL had an interesting reaction to the SEC’s comments.

current encryption Alcohol market It is one of the hardest in the industry. And not just because digital asset prices remain suppressed.

Another reason for severity Alcohol market Is the difficult regulatory environment, especially in the United States. For example, Grayscale received a letter from the SEC indicating that the fund was selling unregistered securities.

The SEC believes FIL is a safety

FIL, the largest decentralized storage The native currency of the Filecoin protocol, is a security.

That’s at least what US Securities and Exchange Commission (SEC) Believes. On Wednesday, Grayscale, a digital asset manager, said so Receive Suspension letter from the SEC alleging that the company is selling unregistered securities, including the FIL.

Grayscale also added that the SEC has “required Grayscale to immediately withdraw its registration statement.”

However, Grayscale disputed the SEC’s comments. The company believes the FIL is not a security “under the federal securities laws” and intends to respond to the SEC by explaining why.

At the same time, Grayscale admitted that it was unable to predict whether the SEC would approve of the company’s response.

“Grayscale cannot predict whether the SEC staff will be persuaded that Grayscale’s position is correct, and if not, whether it may become necessary for Grayscale to seek accommodations that would enable the Trust to register under the Investment Company Act of 1940 or, alternatively, seek dissolution of the Trust.”

On the other hand, the FIL did not have any material reaction to the SEC’s comments.

Filecoin (FIL) price remains unchanged after SEC comments

The FIL of Filecoin, which the SEC believes is a security and should be registered with the agency, reacted fairly to the SEC’s comments.

FIL is currently trading at $4.50, up 1.9% on the day, according to data From CoinGecko. FIL stock is down more than 98% from its all-time high of $236.84.

FIL contains a file market cap $1.91 billion and is the third largest cryptocurrency in the industry.

on the flip side

  • The SEC’s comments do not mean that the agency will file an enforcement action against Grayscale.

Why is this important

The Securities and Exchange Commission (SEC) is waging war against the cryptocurrency industry. If the SEC officially considers the FIL and other cryptocurrency securities, the entire industry could suffer a terrible blow.

Read more about possible SEC involvement in Coinbase’s decision to halt ETH reward withdrawals:

Coinbase Halts Reward ETH Withdrawals: Is SEC Action Related?

Read more about what ribbed The Web3 Fellowship Program offers the co-founder the following:

What does the new Web3 Fellowship Program offer to the Polygon co-founder



[ad_2]

Source link

Related Posts

Precaliga