• The US Securities and Exchange Commission has sued both Binance and Coinbase for various counts of violations.
• BNB, the coin of Binance, has fallen to a 6-month low as a result of the lawsuit.
• Despite this major event, the crypto market remains resilient with DeFi activity remaining steady and AltSignals having potential to benefit from a post-SEC market resurgence.
SEC Initiates Investigations on Exchange
The US Securities and Exchange Commission (SEC) has initiated investigations against two major players in the cryptocurrency space – Binance and Coinbase. Binance is accused of 13 counts of violations, one being offering unregistered security tokens. Coinbase is charged with operating an unregistered securities exchange, clearing agency, and broker.
BNB Hits 6-Month Low
Binance Coin (BNB), the native token of Binance, has dropped double digits after news of SEC’s lawsuit broke out. The last time it traded at this level was on January 23rd, implying a nearly 6-month low. This significant price drop is in stark contrast to the resilience seen across other cryptocurrencies like Bitcoin ($26400), Ethereum ($1840), XRP ($0.51).
DeFi Activity Remains Steady
Despite the major event impacting BNB’s price decline, DeFi activity across various platforms remain steady according to DeFiLlama data. The total value locked stayed around $45 billion – showing positive sentiment among investors despite panic involving events like FTX in November 2022.
Potential Recovery As Circumstances Settle
As uncertainty lingers around when the case between SEC and Binance will conclude (similar cases like Ripple can take years), investor confidence could return once it clears regulatory hurdles and boost demand for digital assets again.. AltSignals ($ASI) could benefit from this development due to their presale demand that could fuel its eventual listing on exchanges when conditions normalize again.
The crypto sector appears resilient following SEC’s lawsuits against prominent players in the industry – with many signs hinting that investor confidence can return once any legal issues are cleared up in due course of time. AltSignals ($ASI) stands poised for potential gains if they manage to navigate their presale successfully onto exchanges when conditions normalize again..