Major exchange Bitstamp will delist Polygon (Matic) & other top crypto assets

Bitstamp crypto exchange will delist some flagship crypto assets which are unregistered security tokens under the purview of the American securities regulatory body.

Bitstamp is a very old & popular European cryptocurrency exchange, which was founded in 2011. It is the world’s longest-running cryptocurrency exchange, & known for its unique strategy to remain compliant with the regulators in the corresponding jurisdictions. At present, Bitstamp is the 7th biggest crypto exchange in the world.

On 8 Aug 2023, Bitstamp exchange issued a new notification for the US customers and confirmed that it will delist AXS, CHZ, MANA, MATIC, NEAR, SAND, and SOL from the exchange.

This new decision will only impact the US crypto customers by 29 Aug. In the meantime, Bitstamp customers are requested to cancel their orders in these mentioned crypto assets. 

The Bitstamp team took this decision on behalf of the SEC’s suit against BinanceUS & Coinbase, in which the SEC body mentioned all these crypto assets as unregistered security tokens with facts. 

Earlier this month, Robinhood & BinanceUS delisted all similar Crypto assets, mentioned by the SEC in the suits. On the other hand, Coinbase exchange is not in the mood to delist these crypto assets.

Ripple vs SEC 

The United States Securities Exchange Commission (SEC) is the top American financial regulator and this regulatory body is trying to forcibly regulate the crypto sector under traditional securities laws.

In Dec 2020, the SEC agency sued the San Francisco-based Ripple (XRP) to prove the nature of the XRP token as an unregistered security but failed. 

Just a day ago, the SEC body sent a letter to the court judge to restart the case against Ripple, despite the court judge’s stated that XRP coin is a non-security token, in July  XRP lawsuit ruling.

Read also: Coinbase “Base mainnet” is now open for public