Crypto Market Chaos With SEC, Liquidation Amount In 24 Hours Passes $300 Million
- In the past 24 hours, the number of liquidations in the crypto market has surpassed the $300 million mark.
- This is the effect the SEC has, in that tokens listed by the SEC as securities in its lawsuit against major exchanges plummeted more than 20% in the past 24 hours.
With the crackdown this past week coming from the U.S. Securities and Exchange Commission, the crypto market is currently reeling as the tokens listed as securities by the SEC in the lawsuit against Binance and Coinbase have plummeted.
According to CoinGlass data, tokens that have been listed as securities by the SEC are suffering heavy losses. Specifically, in the last 24 hours, MATIC fell by 22.8%, SOL fell by 21.1%, ADA fell by 22.4%, FIL fell by 22.1%, and SAND fell by 19.3%.
Some tokens that are not listed as securities, such as OP, SUI, BSV, and EOS, also plummeted. But Bitcoin and Ether only saw a slight decline. Bitcoin’s recorded decrease at the moment is 2.3% in the last 24 hours, while that of ETH is 2.2%.
The liquidation amount is close to $300 million within 1 hour at the time of writing.
More US crypto exchanges are expected to be targeted after the SEC sued Coinbase and Binance, two of the world’s top crypto exchanges, this week for allegedly violating its regulations.
The SEC accused Coinbase on Tuesday of trading at least 13 crypto assets that are securities and should have been registered, while Binance, the world’s biggest cryptocurrency exchange, was accused on Monday of providing 12 digital coins without registering them as securities.
In its actions against Binance and Coinbase, the SEC specifically mentions 19 cryptocurrencies as securities. The SEC has designated the following tokens as securities.
The SEC classified these tokens as securities in its case against Binance:
- Cosmos (ATOM)
- Binance Coin (BNB)
- Binance USD (BUSD)
- COTI (COTI)
Meanwhile, these cryptocurrencies were identified as securities in the SEC’s case against Coinbase:
- Chiliz (CHZ)
- Near (NEAR)
- Flow (FLOW)
- Internet Computer (ICP)
- Voyager Token (VGX)
- Dash (DASH)
- Nexo (NEXO)
Ultimately, these coins were designated securities on both platforms, Binance and Coinbase:
- Solana (SOL)
- Cardano (ADA)
- Polygon (MATIC)
- Filecoin (FIL)
- The Sandbox (SAND)
- Decentraland (MANA)
- Algorand (ALGO)
- Axie Infinity (AXS)
The cases increase the total amount of cryptocurrencies specifically designated as securities by the SEC. This raises concerns about other exchanges that have permitted US investors to trade certain tokens, including Kraken, Gemini, Crypto.com, and Okcoin, and if they may face regulatory action, according to industry officials. Several exchanges may consider delisting the disputed tokens.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join us to keep track of news: https://linktr.ee/coincu