Robinhood Crypto gets Wells notice from US SEC

"We firmly believe that the assets listed on our platform are not securities and we look forward to engaging with the SEC to make clear just how weak any case against would be," Dan Gallagher, chief legal, compliance and corporate affairs officer at Robinhood, said.

The SEC has adopted a tough stance toward the , arguing most are securities and subject to its , while crypto firms have accused it of overreach. The regulator declined to comment on the enforcement action notice.

"If necessary we will use our resources to contest this matter in the courts," Robinhood CEO Vlad Tenev said in a post on X.

, the world's largest publicly traded cryptocurrency exchange, has also previously argued that crypto assets, unlike and bonds, do not meet the definition of securities, a position held by the vast majority of the crypto industry. The SEC is engaged in a legal fight against Coinbase.

Robinhood Crypto enables customers to deposit and withdraw cyptocurrencies to and from its custodial platform and also routes customer orders to providers based on the lowest price. It has been attempting for nearly two years to register with the SEC.

Last year, it removed digital tokens Solana, Cardano and Polygon from its platform.

Source: Forex-Markets-Economic Times