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Binance.US Voluntarily Delists Cryptocurrency SEC Deems Security

Binance BNB rockets due to Binance Pay

  • On Monday, Binance.US announced that it was in the process of delisting AMP, which had been classified as a security by the SEC in a recent insider-trading case involving Coinbase Global.
  • Binance.US stated that will discontinue trading of the AMP token until more clarity around its classification materializes.

In an effort to demonstrate its willingness to be regulatorily compliant, the world’s biggest cryptocurrency exchange by market volume’s U.S. arm, Binance.US has voluntarily delisted one of the cryptocurrencies singled out as a security by the U.S. Securities and Exchange Commission.

On Monday, Binance.US announced that it was in the process of delisting AMP, which had been classified as a security by the SEC in a recent insider-trading case involving Coinbase Global (+7.22%).

AMP is one out of nine cryptocurrencies that the SEC identified as securities in a lawsuit in July, which alleges that three individuals, including a former Coinbase Global employee were guilty of insider trading.

Under U.S. law, securities are subject stringent investor-protections and disclosures both for platforms as well as issuers and must be registered with the SEC.

Referring to the SEC’S Case, Binance.US said in a blog post that the firm operates in a “rapidly evolving industry” and that their “listing and delisting process are designed to be responsive to market and regulatory developments” without making any reference to the SEC insider trading action.

Effective from August 15, Binance.US will be removing AMP from its exchange “out of an abundance of caution”.

Binance.US stated that will discontinue trading of the AMP token until more clarity around its classification materializes.

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