New SEC Warning: Cryptocurrency IRA Investments Could Be Securities

Key Points: The SEC warns that crypto-investments in individual retirement accounts (IRAs), could be considered unregistered securities.
According to the SEC many trading platforms that offer crypto-assets are called “exchanges” by their operators, misleading investors into believing they are registered.
The companies claimed that the SEC did in fact not offer a realistic way to register the exchange. Therefore, electronic assets cannot be considered securities.
Investors are warned by the SEC that cryptocurrency investments in individual retirement accounts (IRAs), may be unregistered securities. Investors should be cautious about cryptocurrency’s individual retirement account (IRAs). The SEC warned that crypto assets are often unregistered securities and can be traded on unregistered exchanges. “The SEC has warned that many trading platforms offering these crypto assets refer to themselves as “exchanges” which could give investors the illusion that they are registered with the SEC.However, industry lobbyists and corporate executives often assert that the agency does not provide a realistic route to exchange registration, and they argue that many cryptocurrencies are not securities.In the SEC’s latest developments on crypto regulation, U.S. broker-dealers, and investment advisors dealing in cryptocurrencies will be scrutinized more closely by Securities and Exchange Commission judges this year, according to the agency’s annual inspection priorities.Investment firms registered with the SEC that offer or advise on cryptocurrencies will be the focus. The regulator will ensure that companies “follow their respective standards for care when making their offering” recommend or recommend investment advice. We encourage you to do your own research before investing.Join us to keep track of news: coincu.comFoxyCoincu NewsTags: # Cryptocurrencies#MarketsBlockchaincryptocrypto IRAIRASECsecurity