Cardano Foundation Denies SEC’s Classification of ADA as Security

Following a recent US Securities and Exchange Commission (SEC) lawsuit against Binance, the Cardano Foundation issued a statement to dispel the commission's claims that Cardano ($ADA) is among the securities listed on the Binance platform.

On Tuesday, the Cardano Foundation took to Twitter to express its disagreement with the classification of $ADA as a security under US law. Disputing the SEC's appeal against the $ADA, the fund expressed its willingness to engage in dialogue with policy makers in search of legal clarity.

On Monday, the US regulator filed a lawsuit against the largest crypto exchange Binance, alleging that the platform facilitated the trading of large assets considered securities. The list includes Cardano ($ADA), Solana (SOL) and Binance Coin (BNB). SEC Chairman Gary GENSLER has advocated expanding the list of cryptocurrencies classified as securities, arguing that most tokens, with the exception of Bitcoin (BTC), should be treated as investment contracts and subject to SEC registration.

Image: Binance Academy