Bittrex and Former CEO Settle SEC Charges for Unregistered Exchange Operations

Crypto asset trading platform Bittrex Inc. and its former CEO, William Shihara, have agreed to settle charges with the Securities and Exchange Commission (SEC) for operating an unregistered national securities exchange, broker, and clearing agency. Bittrex's foreign affiliate, Bittrex Global GmbH, also settled charges for failing to register as a national securities exchange. The SEC alleged that Bittrex provided services to U.S. investors in connection with crypto assets that were offered and sold as securities, and that Shihara directed issuers to remove certain statements that could trigger regulatory scrutiny. As part of the settlement, Bittrex and Shihara will pay a total of $24 million in disgorgement, prejudgment interest, and civil penalties.