Oliver Lynch, CEO of Bittrex Global, has expressed his frustration with the SEC, citing the lack of any communication between the two parties prior to issuing the Wells Notice to the cryptocurrency exchange.
Oliver Lynch, CEO of Bittrex Global, a prominent cryptocurrency exchange, has expressed his displeasure with the US Securities and Exchange Commission (SEC), asserting that the regulator never gave the company an opportunity to discuss potential enforcement action.
Speaking at the 2023 Consensus Conference in Austin, Texas, Lynch confirmed that there had been no communication whatsoever between Bittrex Global and the SEC before the Wells Notice was issued to Bittrex.
In April, the SEC filed charges against Bittrex, accusing the company of acting as an unregistered exchange, broker, and clearing agency. Moreover, Bittrex Global got involved due to its involvement in a joint order book.
Linch’s concerns mirror sentiment expressed by other US-based crypto firms, such as Coinbase, which has also reported inadequate guidance from the SEC even after multiple meetings.
Lynch stated that the SEC did not contact Bittrex Global at all, leaving the company unsure of what to expect from the regulatory agency.
As a result, Bittrex announced in March that it would cease operations in the United States by April 30, citing the difficult regulatory environment in the United States. It remains unclear whether this decision was made before or after Wells’ notice was received.
Bittrex Global, which is regulated in Liechtenstein and Bermuda, has its CEO calling for a range of regulations and regulators as a possible solution for cryptocurrency companies.
Linch points to the EU Markets in Crypto Assets (MiCA) framework as a possible example, influenced by regulations in Liechtenstein and Bermuda.
(embed) https://www.youtube.com/watch?v=YPujehkKmic (/embed)
However, the lack of regulatory clarity in the US remains a major concern for many companies, leading some to consider moving their operations.
The issue caught the attention of lawmakers, who recently questioned SEC Chairman Gary Gensler about digital assets during committee hearings, pointing to the ongoing controversy surrounding cryptocurrency regulation.