Robinhood might delist Polygon among other cryptocurrencies - Following a recent lawsuit by the SEC against two top crypto exchanges, Binance and Coin
Robinhood might delist Polygon among other cryptocurrencies – Following a recent lawsuit by the SEC against two top crypto exchanges, Binance and Coinbase, cryptocurrencies like Polygon (MATIC), Cardano (ADA), and Solana (SOL) might soon be delisted from Robinhood exchange.
According to a Bloomberg report, California-based crypto exchange Robinhood is reviewing the list of cryptocurrencies it offers after the Securities and Exchange Commission crackdown on top crypto firms.
The exchange company said in the report that it could delist tokens that were mentioned in the lawsuit against the two crypto companies. The tokens in this case include MATIC, ADA, SOL, and others.
In the lawsuits, the SEC alleged that Binance and Coinbase offered unregistered securities to customers. Concerning Binance, the Commission accused the company of lying to its customers and regulators. Also, Binance was accused of mishandling customers’ funds. Binance native token BNB and linked stablecoin BUSD were listed in the lawsuit as securities that were offered by the exchange platform without proper registrations. Furthermore, the Commission also accused Binance and Binance.US of not being independent of each other.
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Meanwhile, regarding Coinbase, the company was accused of selling unregistered securities, and according to the SEC, Solana (SOL), Cardano (ADA), Polygon (MATIC), Filecoin (FIL), Sandbox (SAND), Axie Infinity (AXS), Chiliz (CHZ), FLOW, Internet Computer ICP, NEAR, Voyager (VGX), DASH, and NEXO.
If a crypto asset is determined by the SEC as security and unregistered, Robinhood will be breaking the law by offering such cryptocurrencies to its customers. Therefore, depending on the outcome of the lawsuit against these two top crypto firms, Robinhood might delist Polygon among the other above-listed digital assets from its platform.
Cardano’s possible delisting comes less than a year after the cryptocurrency was listed on the Robinhood platform. In September 2022, the Nasdaq-listed online brokerage announced support for the ADA cryptocurrency. This was part of a larger expansion of Robinhood’s cryptocurrency offers that year. It first began accepting cryptocurrency in early 2018.