The United States securities regulator has recently designated a number of cryptocurrencies as securities, including Algorand (SOMETHING) and Flow (FLOW)which hit record lows after the declaration.
On June 10, ALGO and FLOW hit their respective all-time lows of $0.098 and $0.46, falling around 30% over the past seven days.according to data from CoinGecko.
Both cryptocurrencies have rallied slightly since then; SOMETHING is up more than 12.5% and FLOW has rallied more than 10.5% since June 10.
Last week, the Securities and Exchange Commission sued crypto exchanges Binance and Coinbase. In the process, the regulator classified 16 new cryptocurrencies as securities, including ALGO and Internet Computer (PCI).
SOMETHING was highlighted in the SEC’s case against Binance, but was first pointed out in its April lawsuit against Bittrex.
ICP has also experienced a drop of around 25% in the last week and at the moment trades around USD 3.65just 25 cents from its all-time low of $3.40 in December 2022.
They reject the definition of values
sunny (SUN), Cardano (ADA) and Polygon (MATIC) were also caught up in the SEC’s securities networkand the creators of all three have firmly rejected the regulator’s claim.
On June 10, Polygon Labs tweeted in response to the SEC’s definition of MATIC. without going directly to the regulator.
He stressed that Polygon was developed and deployed outside of the US and MATIC was made available globally “with actions not targeting the US at any time”.
We are proud of the history of the Polygon network – developed outside the US, deployed outside the US, and focused to this day on the global community that supports the network. MATIC was a necessary part of the Polygon technology from Day 1, ensuring that the network would be…
— Polygon (Labs) (@0xPolygonLabs) June 10, 2023
We are proud of the history of the Polygon network: developed outside the US, deployed outside the US, and focused to this day on the global community that supports the network. MATIC was a necessary part of Polygon technology from day one, ensuring that the network…
The Solana Foundation similarly took to Twitter on June 10 to say it “disagrees with the characterization of SOL as a security.”.
The Cardano development company Input Output Global (IOG) said on June 7 that he was “aware” of the SEC’s definition of ADA and claimed there were “numerous inaccuracies” by the regulator.
“Under no circumstances is ADA a security under the securities laws of the United States. It never has been,” the company wrote. in a blog post.
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