Wish I’d Seen It Before: Kraken CEO Jesse Powell after $30 Million Settlement
Crypto News: The U.S. Securities and Exchange Commission (SEC), continues its crackdown on digital asset industry. The SEC recently charged Kraken, a cryptocurrency exchange, with failing to register their staking services. Kraken’s CEO, however, mocked the commission’s actions against them.
SEC Crackdown to Continue?
Gary Gensler, the Chair of the SEC, stated that Kraken was promising users a return rate of 4% to 21% on crypto tokens. The problem was that the accused exchange failed to disclose the risks involved to the users.
Gensler stated that one can take any risk they want, while Kraken can offer investment schemes and contracts. It should be completely fair and transparent. The exchange was found to be not following the basic law. See More Crypto News
He said that the SEC is not technology-neutral and remains very focused on investor protection. Gensler claimed that Kraken knew how register, and that it is a simple form on the official website. Investors require full disclosure from the SEC.
Kraken CEO Mocks US Watchdog
Jesse Powell, Kraken’s CEO, reacted differently to this statement. He said that he only had to fill out a form on a website that told people that staking rewards are earned by staking. He regretted not having seen the video before he was fined $30 million. The crypto exchange has now agreed to shut down its staking services in the U.S.
Powell joked that the $30 million SEC fine would first be paid to the Treasury. He imagined that the fund would then be transferred to Zelensky and Pfizer.
Kraken CEO also stated that Congress must protect the crypto industry in America. Many of them will leave the country if they fail to act.
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