Will The SEC Go After Cardano ADA?
Question
What is the probability that the U.S. Securities and Exchange Commission (SEC) will pursue legal action against Cardano?
In a recent video the chairman of the U.S. Securities and Exchange Commission Gary Gensler said “if platforms and certain of the tokens don’t register with the SEC then they’re non-compliant with important federal protections in our laws”.
In another video Senator Warren said that cryptocurrency needs a ‘cop on the beat’ to ensure investor protection against pump-and-dump schemes and scams.
I ask the question “will the SEC go after Cardano ADA” because in doing my research it would appear that Cardano is not registered or regulated by the U.S. Security and Exchange Commission.
Moreover, it also appears that there might be a massive network of pump-and-dump scam artist working together to artificially inflate the price of ADA. Maybe these are social media influencers who are just trying to shill their own bag or whales attempting to manipulate the price. But what if someone affiliated with Cardano was orchestrating this?
I was looking for some input so as to determine if ADA is a low-risk or high-risk investment.
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Cryptocurrency
2 years
2021-08-16T14:57:04+00:00
2021-08-16T14:57:04+00:00 2 Answers
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Answers ( 3 )
Yes it is possible the U.S. Security and Exchange Commission could target Cardano and other tokens that are not registered with the SEC. Until there is regulatory clarity you should consult with a certified financial advisor for professional advice before you invest in cryptocurrency.
That said, there is some speculation that many platforms and tokens will be ban from U.S. exchanges and Cardano could be one of them, especially if the SEC suspects these entities have participated in pump-and-dump or shill schemes.
Personally speaking, I would never invest in Cardano. Like you, I also believe that the SEC will pursue them for the same reasons you just mentioned. Plus, in a recent video Charles Hoskinson said “if the laws are the way they are I imagine there’s going to be a lot civil disobedience because that’s what you do with unjust laws”.
That was not a wise thing for Charles to say. To me that was a major sell signal. That statement sounded as though Charles was threatening the SEC with violence if anything happens to Cardano. That statement also made it seem like Charles knows the SEC will take action against Cardano. Does this mean the SEC will go after Cardano and ban them from US investing platforms? Maybe, who knows?
You also said you were trying to determine if ADA is a low-risk or high-risk investment. Well, since hype is often what influences the price of a crypto then maybe you should refer to the origin of the phrase, ‘If it sounds too good to be true, it probably is’.
I have heard too many ‘too good to be true stories’ in regards to Cardano! Here, let me list some…
Many people might say these rumors are all lies. And while it might be true that liars often get their turn first, truth will always win.
P.S. Do not take anything I say as financial advice, I am not a financial advisor.
eToro is in the process of delisting ADA. So the bloodbath begins. How many more exchanges will delist ADA? How will this delisting affect the entire crypto market? Because of ADA’s shady marketing practice and price manipulation the entire crypto market will suffer when the SEC drops the hammer. Charles Hoskinson literally made billions while so many will lose their life savings.
The game is over for ada. I sold near the peak. Too many people fell victim to the ada scam. I bet SEC investigators will go after social media influencers to see if they were paid by crypto CEOs to hype their coin project. Massive ada dump will come from this. Don’t be stupid and invest in ada. Go with a coin that is regulatory compliant like HBAR.