Solana: US Securities and Exchange Commission Continues to Pursue SOL in Binance Lawsuit

The US Securities and Exchange Commission (SEC) has made it clear again in the lawsuit against the crypto exchange Binance: Solana (SOL) and other altcoins such as Cardano (ADA) are to become subject to regulation. Only the choice of words changes.

Since summer 2023, the US Securities and Exchange Commission (SEC) has been suing the crypto exchange Binance . The charges also revolve around the fact that Binance does not have permission to offer altcoins such as Solana (SOL) because, from the SEC’s point of view, these are securities.

This July, after a partial judgment , it seemed that the SEC would give up or at least postpone its fight against Solana, Cardano and other prominent cryptocurrencies. But far from it: A new submission by the SEC to the court changes the terminology, but not the direction.

In addition to Solana, the SEC has nine other altcoins in its sights in legal dispute

Specifically, the SEC no longer accuses Binance of enabling trading in “crypto asset securities” but instead writes “crypto assets” throughout. However, the SEC has established that Binance has promoted Solana as an investment that brings with it profit opportunities as the SOL ecosystem grows. Such an offer falls under the authorization requirement because SEC powers are affected.

The authority has worked out the Solana case in detail as an example of nine other cryptocurrencies where the situation is comparable. Here it lists Cardano (ADA), Polygon (MATIC), Filecoin (FIL), Cosmos (ATOM), Sandbox (SAND), Decentraland (MANA), Algorand (ALGO), Axie Infinity (AXS) and COTI and groups them together. Binance Coin (BNB) no longer appears in the SEC document.

Experts see a pattern in the SEC’s new choice of words; in a lawsuit against the US crypto platform Cumberland last week, the term “crypto assets” was used instead of “crypto asset securities”. The SEC has apparently learned lessons from two court defeats against Ripple and XRP, in which the equation of XRP with securities was rejected. In this case, however, the SEC has initiated an appeal .

Conclusion: SEC sues crypto industry wildly – ​​markets stay cool

Just two or three years ago, altcoins like Solana regularly experienced price crashes when the SEC announced measures. But after Ripple’s legal successes for XRP, the crypto scene has become more relaxed when the SEC shows its claws. The attacked altcoins are consistently in the plus and are riding the upswing on the crypto markets.

The fact that the US presidential election is only two weeks away and there could be a change at the top of the SEC afterwards is likely to play a role.

Candidate Donald Trump promised during the election campaign to fire SEC chief Gary Gensler and appoint a successor who is friendly to the crypto industry. Opposing candidate Kamala Harris has also taken a friendlier tone in recent weeks when it comes to Bitcoin and Co. So perhaps the SEC will be forced to change direction after the US election and concentrate on areas other than a fight against crypto exchanges and currencies.

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(Featured image by GuerillaBuzz via Unsplash)

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