Due To SEC Categorizing AMP Crypto As A Securities, Binance US Will Remove The Token
JAKARTA – One of the largest crypto exchanges in the United States, Binance.US recently announced its plans to remove the AMP token from its trading platform. This was done, following the decision of the US Securities and Exchange Commission (SEC) to include the AMP crypto as a security category.
In a Monday blog post, Binance.US said it would close Amp (AMP) deposits and remove the AMP/USD trading pair on August 15 following the mention of the token in legal action from the US Securities and Exchange Commission, or SEC.
According to Cointelegraph, federal regulators filed a complaint against a former Coinbase product manager and two individuals in July who claimed that AMP and eight other cryptocurrencies were “crypto asset securities” under the purview of the SEC.
“We believe that, in some circumstances, asset deletion will protect our community from undue risk,” said Binance.US.
“We operate in a fast-growing industry and our listing and delisting processes are designed to be responsive to market and regulatory developments,” the official BinanceUS blog post added.
According to Binance.US, AMP is the only token of the nine named in the SEC complaint available for trading on the platform. The exchange added AMP trading “may resume at some point in the future,” but did not provide an exact date.
Exchanges and other crypto companies that list tokens as well as Powerledger (POWR), Kromatika (KROM), DFX Finance (DFX), Rally (RLY), Rari Governance Token (RGT), DerivaDAO (DDX), LCX and XYO could also face scrutiny from SEC if the regulator chooses to take enforcement action.
"The SEC's allegations could have far-reaching implications beyond this single case, underscoring the importance and urgency of regulators working together," said Caroline Pham, commissioner of the U.S. Commodity Futures Trading Commission, in response to the SEC case.
At the time of writing, the price of the AMP token is trading at IDR 125. Its price performance has decreased by 6.6% in the last 24 hours. On June 16, 2021, AMP touched its all-time high price (ATH) at the level of Rp1,722. However, since then the price of AMP has fallen 92.7% of its ATH.