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Breaking: SEC Alleges Cardano (ADA), Solana (SOL) and Polygon (MATIC) Are Securities

Mon, 06/05/2023 - 15:50
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Alex Dovbnya
The US Securities and Exchange Commission (SEC) has categorised a host of popular cryptocurrencies as unregistered securities in its lawsuit against Binance
Breaking: SEC Alleges Cardano (ADA), Solana (SOL) and Polygon (MATIC) Are Securities
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The US Securities and Exchange Commission (SEC) has alleged that a slew of popular cryptocurrencies, including Cardano (ADA), Solana (SOL), and Polygon (MATIC), are unregistered securities in a lawsuit against the world's largest crypto exchange Binance and its CEO Changpeng Zhao (CZ).

Notably, the lawsuit also identifies Binance's BNB and the BUSD stablecoin as securities, amplifying the gravity of the situation.

The extensive list of crypto asset securities, as detailed in the suit, includes, among others, FIL, ATOM, SAND, MANA, ALGO, AXS, and COTI.

Additionally, the lawsuit points out that Binance has listed for trade crypto assets that have previously been the subject of SEC enforcement actions, including AMP, REP, UST, and TRX tokens, thus indicating a pattern of potentially reckless disregard for securities regulations.

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Notably, Ethereum (ETH) and Litecoin (LTC) are not on the list. SEC Chair Gary Gensler previously clarified that viewed Bitcoin (BTC), the flagship cryptocurrency, as a commodity but suggested that the majority of existing tokens are unregisterd securities.     

As reported by U.Today, the SEC sued Binance, the world's largest crypto exchange, and its CEO for alleged violations of U.S. securities laws. The lawsuit accuses the crypto behemoth of offering unregistered securities trading platforms and engaging in unregistered crypto asset securities sales. It further alleges that Binance secretly controlled U.S. operations, enabling high-value U.S. customers to evade restrictions, and improperly commingled and diverted billions of dollars in customer funds.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at