Tens of thousands and thousands of {dollars} price of the main meme coin Dogecoin (DOGE) has exited Robinhood amid potential authorized motion from the U.S. Securities and Change Fee (SEC) in opposition to the favored buying and selling platform.
Robinhood Sees Huge DOGE Withdrawals
Robinhood has seen a big exodus of funds as customers rush to tug their Dogecoin holdings from the platform.
According to X-based blockchain tracker bot Whale Alert, a whopping 120 million DOGE tokens — valued at an estimated $18.1 million based mostly in the marketplace worth on the time — had been transferred from Robinhood to an unknown pockets.
The receiver of this large switch, recognized solely by the handle “DDuXG,” will not be new to crypto. DDuXG is a Dogecoin whale well-known for making big strikes available in the market. Following the most recent transaction, DDuXG’s pockets handle now holds a staggering 1.92 billion DOGE, equal to $292.4 million.
Moreover, on-chain monitoring platform Bitcoinsensus revealed on Could 8 that 164 million DOGE price $25 million was transferred out of Robinhood.
These vital withdrawals come within the wake of Robinhood’s authorized drama with the SEC.
SEC Making ready To Sue Robinhood
As we reported beforehand, Robinhood, which solely affords 15 cryptocurrencies, together with DOGE, on its U.S. platform, obtained a Wells discover — a preliminary warning from the securities watchdog about potential enforcement motion — on Could 4.
Speaking lately on CNBC Final Name, Robinhood CEO Vlad Tenev stated the SEC opted to pursue regulation by enforcement regardless of the inventory buying and selling platform assembly with the SEC 16 instances “in good religion” in a bid to register as a particular goal broker-dealer supporting cryptocurrencies.
The assault in opposition to Robinhood comes because the SEC has ramped up its regulatory warnings issued towards U.S.-based crypto firms, with the company lately serving Ethereum growth firm Consensys and decentralized alternate (DEX) developer Uniswap Labs with Wells Notices.
The dearth of federal regulatory readability has undoubtedly created an uneven enjoying area for crypto market members, difficult regulatory compliance and hampering mainstream adoption. But, with out a clear regulatory framework, regulators will possible proceed to crack down on crypto corporations within the coming months.