SEC warns digital asset exchanges on special privileges

The Deputy Secretary-General of the Securities and Exchange Commission (SEC) issued a stern warning to digital asset exchange operators. The caution comes in light of recent findings by the SEC, which reveal that these exchanges often entice the public to invest by offering special privileges, thereby encouraging trades on their platforms.

Anek Yooyuen emphasised that the operations of digital asset exchanges must adhere to established business standards with the primary aim of benefiting investors from those standards. Therefore, all advertising and sales promotions must be in line with specific criteria.

This includes ensuring that the information provided isn’t false, exaggerated, distorted, misleading, or concealed.

The SEC has also set guidelines for promotional campaigns. These should not pressure customers into making hasty decisions about using an exchange’s services or…