eToro Halts Purchases of Polygon, Algorand, Decentraland, And Dash For US Customers
Financial trading platform eToro said Monday that U.S. customers can no longer purchase Algorand (ALGO), Decentraland (MANA), Dash (DASH), and Polygon (MATIC), starting next month, as the Securities and Exchange Commission’s regulatory double-tap echoes throughout the financial services industry.
By Anna B Kiwanuka
eToro, a popular retail trading platform, has decided to halt the purchase of Algorand (ALGO), Decentraland (MANA), Polygon (MATIC), and Dash (DASH) for its customers in the United States. This decision comes as a response to recent lawsuits by the United States Securities and Exchange Commission (SEC), which has categorized these tokens as securities.
The move by eToro follows a similar action taken by competitor Robinhood, which recently suspended support for MATIC, Cardano (ADA), and Solana (SOL), three other cryptocurrencies that have been labeled as securities by the SEC.
In a Twitter thread on June 12, eToro US explained that it had conducted a review of its crypto listings in light of the rapidly changing regulatory landscape and the recent developments with the SEC. As a result, these assets were officially delisted as of 6:00 am Eastern Time on July 12. However, eToro US users will still be able to hold and sell these assets.
eToro emphasized its support for crypto assets and expressed its belief in the importance of offering users access to a diversified range of asset classes, including stocks, ETFs, and options. The company stated its commitment to closely collaborating with regulators worldwide to shape the future of the crypto industry and advocate for access for everyday investors.
The decision by eToro to suspend these tokens reflects a cautious approach due to the SEC’s assertions in lawsuits against Binance and Coinbase, where major assets like ADA, SOL, MATIC, MANA, ALGO, and others have been classified as securities.
There have been questions from the community regarding the absence of any mention about SOL, which was also deemed a security in the recent lawsuits. However, an eToro spokesperson clarified that SOL is not part of eToro US’s offerings.