• The U.S. Securities and Exchange Commission (SEC) has reportedly reached a $30 million settlement with cryptocurrency exchange Kraken over accusations of unregistered securities and staking services to U.S. customers.
• As part of the settlement, Kraken will immediately end its crypto staking-as-a-service platform for U.S. customers and pay the SEC $30 million in fines.
• The SEC vote on the settlement took place during a closed-door commissioner meeting on Thursday afternoon, though an official announcement may come later in the day.
Kraken Agrees to Settle SEC Charges
The U.S. Securities and Exchange Commission (SEC) has reportedly reached a $30 million settlement with cryptocurrency exchange Kraken over accusations of offering unregistered securities and staking services to U.S. customers within its platform in the United States. It is expected that Kraken will immediately cease offering its crypto staking-as-a-service platform for US customers as part of the settlement agreement, according to an industry source briefed on the matter who spoke to CoinDesk news outlet about it on Thursday afternoon after a closed-door commissioner meeting regarding the matter took place earlier in that day by SEC officials which may be followed by an official announcement later today or tomorrow at most likely time periods..
Details of Settlement Agreement
Kraken’s crypto staking service has been providing up to 20% APY rate alongside promising twice per week payments for rewards earned via staked funds under its product offering before being shut down by this new agreement with US authorities according to reports from Bloomberg news outlet yesterday before this official announcement was made today or yesterday as mentioned above..
Wider Implications for Crypto Regulation
The closure of Kraken’s “staking as a service” platform could have wider implications for crypto regulation in general given how many different exchanges offer similar services within their platforms already and those who are planning on launching such services soon.. This settlement could set a precedent for other exchanges if they were found guilty of offering unregistered securities or any other form of illegal activities within their respective platforms too which would make them subject to similar penalties depending upon how serious these matters were seen from legal perspectives as well..
Statement from Kraken Spokesperson
Kraken has declined to comment on this matter when asked by CoinDesk news outlet while also adding that their spokesperson refused to give any statement regarding this new agreement between SEC & themselves at least until now since no such comments have not yet been heard publicly either directly from them or through any other reliable sources so far..
SEC Refuses Comment
The SEC spokesperson too had nothing more than just declining comment while being asked about this new agreement between them & one of America’s leading cryptocurrency exchanges without sharing anything else further than that either personally or through any other mediums yet again..