CTFC cracks down on DeFi protocols Opyn, ZeroEx and Deridex
The commodities regulator imposed fines of $250,000, $200,000 and $100,000 respectively on the three companies, in addition to prohibition and forbearance orders.
News
Join us on social networks
The U.S. Commodity Futures Trading Commission (CFTC) is taking regulatory action against three decentralized financial protocols for allegedly failing to register various derivatives trading offerings.
The US commodities regulator announced that it had issued orders against the Opyn, ZeroEx and Deridex protocols in a press release on September 8.
Today, the @CFTC issued orders against the operators of three DeFi protocols for offering illegal digital asset derivatives trading . Learn more: https://t.co/7YDbgC1Xl2
– CFTC (@CFTC) September 7, 2023Deridex and Opyn were accused of failing to register as a swap execution center or designated contracts market and of failing to register as a futures commission trader. Both protocols also failed to comply with customer provisions set forth in the Bank Secrecy Act, the CFTC said.
The three companies were also accused of illegally offering leveraged and margined retail trading in digital assets.
The CFTC's orders require Opyn, ZeroEx and Deridex to pay penalties of $250,000, $200,000 and $100,000, respectively, and to cease violating the Commodity Exchange Act and CFTC regulations. /p>
Ian McGinley, CFTC Enforcement Director, said DeFi platforms need to take better initiatives to act within the law:
“Somewhere along the way, DeFi operators came up with the idea that illegal transactions become legal when facilitated by smart contracts...
The commodities regulator imposed fines of $250,000, $200,000 and $100,000 respectively on the three companies, in addition to prohibition and forbearance orders.
News
Join us on social networks
The U.S. Commodity Futures Trading Commission (CFTC) is taking regulatory action against three decentralized financial protocols for allegedly failing to register various derivatives trading offerings.
The US commodities regulator announced that it had issued orders against the Opyn, ZeroEx and Deridex protocols in a press release on September 8.
Today, the @CFTC issued orders against the operators of three DeFi protocols for offering illegal digital asset derivatives trading . Learn more: https://t.co/7YDbgC1Xl2
– CFTC (@CFTC) September 7, 2023Deridex and Opyn were accused of failing to register as a swap execution center or designated contracts market and of failing to register as a futures commission trader. Both protocols also failed to comply with customer provisions set forth in the Bank Secrecy Act, the CFTC said.
The three companies were also accused of illegally offering leveraged and margined retail trading in digital assets.
The CFTC's orders require Opyn, ZeroEx and Deridex to pay penalties of $250,000, $200,000 and $100,000, respectively, and to cease violating the Commodity Exchange Act and CFTC regulations. /p>
Ian McGinley, CFTC Enforcement Director, said DeFi platforms need to take better initiatives to act within the law:
“Somewhere along the way, DeFi operators came up with the idea that illegal transactions become legal when facilitated by smart contracts...
What's Your Reaction?
