SEC Files Motion to Dismiss Kraken Defenses

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In its ongoing legal battle, the United States Securities and Exchange Commission is maintaining regulatory pressure on the cryptocurrency exchange Kraken.

On November 5, the SEC filed a motion to dismiss three of Kraken’s defenses in response to the commission’s allegations that the exchange has been operating without proper registration.

The claims by Kraken that there is a lack of clarity around US securities laws and their applicability to the crypto industry were dismissed by the SEC.

Furthermore, the commission is seeking for the court to reject Kraken’s assertions that they were not given adequate notice about their alleged violations of US securities laws.

The SEC first initiated legal action against Kraken in November 2023, stating that the exchange has been unlawfully operating as a securities exchange without registering with the regulatory agency.