- Bittrex filed for chapter simply over a month after the SEC filed a lawsuit in opposition to it.
- The change listed liabilities and belongings totaling $1 billion every.
- The event comes days after Bittrex US knowledgeable its customers to withdraw funds.
Cryptocurrency change Bittrex has formally filed for Chapter 11 chapter safety in america. The chapter submitting comes barely a month after the U.S. Securities and Change Fee (SEC) accused Bittrex of repeatedly violating safety laws within the nation.
Within the chapter submitting filed Might 8 in america Chapter Courtroom for the District of Delaware, Bittrex mentioned it had $500 million to $1 billion in belongings, $500 to $1 billion in liabilities and greater than 100,000 collectors.
The chapter safety submitting doesn’t contain Liechtenstein-based world change agency Bittrex World GmbH. It solely applies to Bittrex US and its associates.
We want to present somewhat extra context relating to Bittrex US’s determination to file for Chapter 11.
—Bittrex World (@BittrexGlobal) Might 9, 2023
The SEC lawsuit in opposition to Bittrex
Final month, the US SEC filed a lawsuit in opposition to Bittrex in federal court docket alleging the change violated securities laws from 2017 to 2022, producing no less than $1.3 billion in income.
The SEC alleges that Bittrex has at instances operated as an change, brokerage, and clearing company with out submitting the required paperwork. The lawsuit additionally classifies three tokens (ALGO, OMG, and DASH) specifically as unregistered securities.