Robinhood is now reevaluating its crypto offers in light of recent crackdowns by the Securities and Exchange Commission (SEC).
According to legal head Dan Gallagher’s testimony before Congress on June 7, Gallagher, Robinhood is now analyzing the regulator’s findings to decide the best course of action.
The SEC has sued Binance Holdings Ltd and Coinbase Global exchanges for allegations that they have listed unregistered securities tokens.
Recent SEC actions have implicated some coins accessible on Robinhood’s platform, even though the platform offers customers access to a very restricted variety of cryptocurrencies. Currently, it’s just 18 distinct tokens to choose from compared to Coinbase’s broad range.
Based on this week’s legal proceedings, the SEC has classed Robinhood tokens like solana, cardano, and polygon as securities.
Because of this change, Robinhood is looking closer at its existing crypto products to ensure they meet all applicable regulations and resolve customer concerns. The corporation is reviewing the SEC’s investigation into the new cases to ascertain what steps it should take next.
The results of this analysis will likely impact the tokens offered on the platform, which might lead to changes in the existing token issuing schedule.