EToro Reaches $1.5M SEC Settlement, Agrees to Stop Trading Most Cryptocurrencies

Trading platform eToro agreed to pay $1.5 million to settle SEC charges it facilitated trading certain crypto assets as securities.
The company will make only a limited set of crypto assets available for trading.

Trading platform eToro agreed to pay $1.5 million to settle charges it operated an unregistered broker, an unregistered clearing agency and facilitated trading certain crypto assets as securities, the U.S. Securities and Exchange Commission said in a statement on Thursday.

“eToro has agreed to cease and desist from violating the applicable federal securities laws and will make only a limited set of crypto assets available for trading,” the statement said.

Going forward the only crypto assets available for U.S. customers to trade on the company’s platform will be bitcoin (BTC), bitcoin cash (BCH) and ether (ETH).

The SEC’s order found that since at least 2020, eToro let U.S. customers trade crypto assets being offered and sold as securities and “did not comply with the registration provisions of the federal securities laws,” the release said.

Edited by Sheldon Reback.

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Camomile Shumba is a CoinDesk regulatory reporter based in the UK. She previously worked as an intern for Business Insider and Bloomberg News. She does not currently hold value in any digital currencies or projects.

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