Neosify - Buy, Stake & Earn Crypto
Neosify - Buy, Stake & Earn Crypto
Neosify - Buy, Stake & Earn Crypto

Kraken and the SEC

By Georges111 | George's world | 11 Feb 2023

Today I want to change my post argument.


As many of you have know already, the exchange Kraken shuts down crypto staking in the United States and pays 30$ millions in penalties.

According to the SEC, Kraken took investors’ crypto and put it into a staking pool with the hopes of earning rewards. In return for having their crypto locked up, Kraken’s customers would earn interest on that crypto. But the regulator says that the returns Kraken promised were “untethered to any economic realities”. 

The SEC (Security and Exchange Commission), back in 2021 got an argument with Coinbase over the exchange’s plans to launch a lending feature in the US, and in 2022 fined 100+ million dollars BlockFi over his interest accounts.

Kraken, for its part, says it’ll continue offering its staking services outside the US, and most assets enrolled in its program by US users would be automatically "unstaked" starting on Thursday. In November paid over 350.000$ related to apparent violations of sanctions on Iran.

In last days, Coinbase CEO Brian Armstrong said a ban on staking for US customers would be "a terrible path for the US" and "we need to make sure that new technologies are encouraged to grow in the US, and not stifled by lack of clear rules,". Coinbase also offers a staking service to its US customers.

The action comes after a year of seeing lot of crypto firms going bankrupt.

What will be the consequences? The race is already finish? What do you think?

Stay tuned and see what happends.


How do you rate this article?



Young boy trying to take his first steps in this magic place called Earth.

George's world
George's world

If you want to see something different.

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.