The United States Securities and Exchange Commission has recently announced another settlement with a prominent crypto investment and trading firm eToro. As per the US SEC, eToro has carried out a settlement with the securities regulator with an agreement to halt the trading activity concerning almost all of the crypto assets. Additionally, eToro has agreed to pay a $1.5 million penalty as well. The securities regulatory agency took to its official X account to announce this settlement.

eToro Announces Its Settlement with SEC by Halting Trading for Almost All Crypto Assets

In addition to the social media announcement, the US SEC also published a press release on its web portal. The regulator pointed out that it had levied several charges on eToro. It reportedly accused the crypto company of running an unregistered clearing agency and brokerage platform concerning the crypto trading forum thereof. Nevertheless, as a part of the latest settlement, eToro has consented to a cease and desist order.

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The crypto trading platform faced this accusation for infringing the valid federal securities laws.  At present, to fulfill the settlement, eToro will offer just a few crypto assets for trading. In line with the SEC’s order, since nearly 2020, eToro served as a brokerage as well as a clearing platform. It permitted consumers in the United States to trade cryptocurrencies via its trading forum online. It was selling and offering the respective crypto assets as securities.

The Crypto Trading Platform Will Just Offer Ether, Bitcoin, and Bitcoin Cash for Trading

Nevertheless, as per the securities regulator, eToro did not abide by the registration provisions under the federal securities laws. But now, the platform has openly announced moving in line with the provisions of the regulatory agency’s order. Keeping that in view, the only crypto assets that it will offer take into account Ether, Bitcoin Cash, and Bitcoin. eToro asserted enabling the consumers to sell the cryptocurrencies for just 180 days following the order’s issuance.

Gurbir S. Grewal, the Director of the Division of Enforcement at the SEC, also commented on this development. The official noted that with the elimination of the tokens that it offers for investment contracts, eToro has entered compliance to operate within the regulatory framework of the SEC.