eToro, a popular retail trading platform, has announced that it will temporarily halt purchases of Algorand (ALGO), Decentraland (MANA), Polygon (MATIC), and Dash (DASH) for customers in the United States. This decision comes in response to recent lawsuits by the US Securities and Exchange Commission (SEC), where these tokens have been labeled as securities.

eToro Halts Purchases of Polygon, Algorand, Decentraland, and Dash for US Customers.

The move by eToro follows a similar action taken by Robinhood, another trading platform, which also suspended support for MATIC, Cardano (ADA), and Solana (SOL) due to their classification as securities by the SEC. The decision highlights the impact of regulatory scrutiny on the cryptocurrency market and the efforts made by trading platforms to comply with evolving regulations.

In a Twitter thread on June 12, eToro US mentioned that the decision to review its crypto listings and temporarily halt purchases was prompted by the rapidly evolving regulatory landscape and recent developments with the SEC. The affected assets were officially delisted as of 6:00 am Eastern Time on July 12, but eToro US users will still be able to hold and sell these assets.

Despite temporarily suspending purchases of these tokens, eToro emphasized its support for the crypto industry and the importance of offering users access to a diversified range of asset classes, including stocks, ETFs, and options. The company reaffirmed its commitment to working closely with regulators worldwide to shape the future of the crypto industry and ensure access for ordinary investors.

It's worth noting that eToro has previously taken similar measures to comply with regulatory requirements. In December 2020, the platform delisted Ripple's XRP following the SEC's lawsuit against Ripple Labs.

eToro's decision to suspend purchases of ALGO, MANA, MATIC, and DASH for US customers reflects the impact of regulatory developments on the cryptocurrency market. It underscores the need for trading platforms to adapt to the evolving regulatory landscape while continuing to support and provide access to a wide range of investment opportunities.



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