Binance’s U.S. subsidiary introduced that it’ll shutter buying and selling for Flexa’s AMP token after the U.S. Securities and Trade Fee (SEC) recognized the asset as safety.

“We function in a quickly evolving trade and our itemizing and delisting processes are designed to be conscious of market and regulatory developments,” Binance US stated in a weblog submit on Monday.

The change stated it’s delisting AMP “out of an abundance of warning” efficient August 15, including it’s “taking this step now till extra readability exists across the classification” of the token.

The transfer follows final week’s report that the SEC is investigating America’s largest crypto change Coinbase for allegedly letting U.S. residents commerce digital belongings that ought to have been registered as securities.

The Fee reported that Coinbase had listed 9 cryptocurrencies that had been unregistered securities; “of these 9 tokens, solely Amp (AMP) is listed on the Binance.US platform,” learn Binance’s submit.

Previous to that the SEC the company accused one among Coinbase’s former workers of violating the corporate’s insider buying and selling guidelines, saying it had decided that 9 tokens concerned within the case contained “hallmarks of the definition of a safety.”

AMP, which is described as a collateral token providing immediate, verifiable assurances for real-world purposes, was one of many 9 belongings the SEC recognized as a safety. It shed greater than 9% over the previous 24% and is at present buying and selling at a weekly low of $0.0082, per CoinMarketCap.

SEC Chair weighs in

The SEC chair Gary Gensler final week argued that cryptocurrency exchanges must be regulated in the identical method as conventional securities exchanges.

Per Gensler, there’s “no motive to deal with the crypto market in another way [from the capital market] simply because a unique know-how is used” and that failing to take action would “threat undermining 90 years of securities regulation.”

Coinbase, nevertheless, is denying the change has listed unregistered securities.

“We’re assured that our rigorous diligence course of―a course of the SEC has already reviewed―retains securities off our platform, and we look ahead to partaking with the SEC on the matter,” the corporate’s chief authorized officer Paul Grewal stated in response to the SEC’s probe.

As of at this time, The San Francisco-based change continues to be providing AMP buying and selling, as does one other main U.S.-based crypto change Gemini.