SEC sues Binance and Coinbase, EU to use blockchain, Tether invests in renewable energy | Crypto Weekly 4-10 June

The past week has been a turbulent one for the crypto industry, with several major events and developments affecting the market.

SEC sues Binance and CZ

The Securities and Exchange Commission (SEC) registered a lawsuit on June 5 in conflict with the Binance. The SEC alleges that Binance failed to properly manage client funds and did not register with the SEC.

 The lawsuit also alleges that Binance, BAM Trading, and Binance.US sold securities without proper authorization and failed to register with the SEC.

According to the SEC, BAM Trading’s staking system qualifies as an investment contract and falls under the definition of security.

After Binance, the SEC initiated legal proceedings against Coinbase

The US Securities and Exchange Commission (SEC) has taken similar measures against Coinbase, a rival of Binance, just hours after initiating legal action against Binance and its founder Changpeng Zhao.

The SEC’s petition claims that since 2019, Coinbase has purportedly operated in the US without being authorized to act as a broker, national securities exchange, or clearing agency.

Tether invests in renewable energy

Tether is funding a huge “Volcano Energy” renewable energy facility in Metapán, El Salvador.

 A $250 million investment in a renewable energy plant in El Salvador is being initiated by stablecoin issuer Tether.

As one of the few investors in the $1 billion project, Tether will take part in a 241-megawatt renewable energy plant called “Volcano Energy” in the northern city of Metapán.

EU will use blockchain for qualification verification

The cross-border verification of academic and professional credentials has been put into operation by the European Commission.

A Web3 and blockchain solution provider named Protokol announced cooperation with EBSI Vector, an EU-sponsored initiative to create a decentralized framework for cross-border verification, in a news release on June 7.

With the use of blockchain technology, the team will develop a future credential verification solution that will make it simpler for EU citizens to have their credentials recognized and accepted overseas.

US Government refuses Bittrex US’s decision

The US government rejected Bittrex US’s application to let customers withdraw their Bitcoin assets while the exchange’s bankruptcy case is still pending.

Bittrex US, a bankrupt cryptocurrency exchange, asked the US government for authorization to return customer funds, but this request was denied. In response to Bittrex US’s plan to permit customer withdrawals of cryptocurrency holdings, the government has challenged the motion and scheduled a hearing for June 14.

Robinhood will delist security tokens

As a result of the SEC’s recent actions against prominent cryptocurrency exchanges, trading platform Robinhood has stated that it will discontinue serving the cryptocurrencies Cardano, Polygon, and Solana as of June 27. This decision reflects the growing legal concerns within the cryptocurrency industry.

According to a recent development, Robinhood will stop supporting Cardano (ADA), Polygon (MATIC), and Solana (SOL) as of June 27. This claim is unexpected given that the platform just briefly stated the basis for their choice, which was “based on our latest review.”

I am Vishal. I post articles about the cryptocurrency markets. I'm pursuing a BBA degree. My home is in Navi Mumbai, Maharashtra.I'm constantly interested in new advancements in this industry and I learn something new about it every day. I would love to share such information with you all.

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