As the US Securities and Exchange Commission (SEC) approaches Bittrex, one of the country's "winding up" digital asset exchanges, the cryptocurrency community is in a state of anxiety. Bittrex has shut down its US operations after the SEC charged the exchange with breaking investor protection rules.

Bittrex is a target of the SEC for securities violations :
For the crypto community, which has been battling the issue of regulation for some time, this is a concerning development. Following years of going after businesses that produce digital coins, the SEC's enforcement efforts against Bittrex highlight how authorities are now focusing on crypto exchanges, including coinbase information and kraken information.

Since 2017, when it launched a thorough investigation into the then-emerging cryptocurrency market, the SEC has been looking into information from bittrex. Over the years, the agency has issued several subpoenas to Bittrex with the main goals of learning how it generates revenue and selecting which assets to list.

Bittrex violates the law by operating as an exchange, broker-dealer, and clearinghouse without registering with the SEC, according to the SEC lawyers' Wells notice. According to US law, companies that sell securities to investors are generally required to register with the SEC, abide by guidelines meant to protect investors' money, and disclose fees and risks.