When the New York AG classifies cryptocurrency tokens as securities, ether drops to its lowest level in two months.
10 March (Reuters) The New York attorney general classified the cryptocurrency token Ether as security on Friday, grouping it with assets like stocks and bonds and raising concerns about a broader regulatory crackdown. Ether then dropped to its lowest level in two months. New York AG classifies cryptocurrency tokens as securities.
Letitia James, the attorney general of New York, is suing KuCoin for failing to register with the state before allowing cryptocurrency transactions on its platform, and on Thursday she referred to Ether as a security. One of the most popular cryptocurrency platforms in the US is KuCoin.
The Ethereum (the network that supports Ether) scenario might become very ugly, according to a tweet from financial research company Citron Research.
About $1,390 was the lowest price for the second-largest cryptocurrency token in the world since January 10.
As James develops her argument, the “secrets” of the Ethereum network will come to light, according to Citron, who also said that the network was being governed by a limited number of individuals “under a garb of decentralization”.
The classification of cryptocurrency assets as securities, which would expose digital asset businesses to more stringent regulation, has been a source of contention between the crypto sector and authorities.
I am Andy Sonal,, We are a team of knowledgeable individuals who collaborate with you on the most recent news and information on the cryptocurrency and bitcoin industries. Our aim is to inform and educate our readers on the ins and outs of this dynamic sector.