CFTC Takes Regulatory Action Against DeFi Protocols for Offering Illegal Derivatives Trading
Summary:
The CFTC has taken regulatory action against three DeFi protocols, Opyn, ZeroEx, and Deridex, for allegedly offering illegal digital asset derivatives trading without proper registration. Penalties have been imposed, and the protocols are required to cease violating regulations. This is a developing story.
The United States Commodity Futures Trading Commission (CFTC) has taken regulatory action against three decentralized finance protocols for allegedly failing to register various derivatives trading offerings, according to an announcement made by the U.S. commodities regulator. The protocols involved in the action are Opyn, ZeroEx, and Deridex. Deridex and Opyn have been charged for their failure to register as a swap execution facility or designated contract market, as well as their failure to register as a futures commission merchant, the CFTC said. Furthermore, the two protocols have also been accused of not complying with customer provisions outlined in the Bank Secrecy Act. All three firms have been charged for illegally offering leveraged and margined retail commodity transactions in digital assets. To address these violations, the CFTC has ordered Opyn, ZeroEx, and Deridex to pay penalties of $250,000, $200,000, and $100,000, respectively. Additionally, they are required to cease and desist from further violations of the Commodity Exchange Act and the CFTC's regulations. This is an ongoing story, and further updates will be provided as more information becomes available.
Published At
9/7/2023 11:38:54 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.