Bitcoin Generation Suspension | Why the SEC Took Action
On Monday, April 29, the SEC said it’s suspending trading of shares in Bitcoin Generation. While a relatively unknown crypto exchange, news of the suspension has traveled far and wide. That said, it’s important to know this is a temporary suspension. In this article, we will discuss everything we know about the Bitcoin Generation suspension.
Bitcoin Generation Suspension: The Facts
Today, the US Securities and Exchange Commission said it was suspending Bitcoin Generation trading until 11:59 P.M. EDT on May 10, 2019. According to the regulator, it is concerned that Bitcoin Generation has provided the public with inaccurate information. More specifically, the SEC is concerned about a bond that the crypto exchange and mining firm “purportedly acquired from an entity based in the United Kingdom.” With concerns such as these, the SEC had no choice but to take charge, resulting in the temporary Bitcoin Generation suspension.
Releasing a statement on Monday, the SEC announced the suspension and also cautioned shareholders and broker-dealers among others to remain vigilant: “The Commission cautions broker-dealers, shareholders, and prospective purchasers that they should carefully consider the foregoing information along with all other currently available information and any information subsequently issued by the company.”
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The Bitcoin Generation suspension might come as a surprise to some, but what isn’t surprising is the fact that the SEC has once again taken action against the crypto industry.
Last year, the SEC suspended trading in the securities of American Retail Group, Inc. And while this particular suspension came because of the company making false crypto-related claims, it’s still not surprising to see the SEC cracking down on the crypto industry. When an industry becomes popular, it’s always going to attract government attention.
The upside, I suppose, is that the Bitcoin Generation suspension is only temporary. What do you think, though? Does the suspension impact you? Let us know what you think in the comments below.
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