Dogecoin (DOGE) Valued at $25,000,000 Leaves Robinhood Crypto in the Wake of the SEC’s Wells Notice

Tens of Millions of Dollars Worth of Dogecoin (DOGE) Exits Robinhood Crypto Following SEC Wells Notice

In the wake of a Wells Notice issued by the U.S. Securities and Exchange Commission (SEC), a significant amount of Dogecoin (DOGE) has been transferred out of Robinhood Crypto.

Data from blockchain-tracking platform Bitcoinsensus indicates that 164 million DOGE, valued at approximately $25 million, was withdrawn from Robinhood after its crypto division received the notice of potential enforcement actions.

A Wells Notice serves as a warning from the SEC, indicating an intent to pursue legal action but does not constitute an admission of wrongdoing. Robinhood received its notice on May 6th.

Earlier this week, crypto attorney Jake Chervinsky criticized the SEC's use of Wells Notices as a "scare tactic." He argued that if the SEC were to follow through on all Wells Notices with enforcement actions, it would violate both the law and its Congressional mandate.

However, Robinhood CEO Vlad Tenev responded to the notice on social media, stating that the company would challenge the SEC in court if necessary.

"While we strive to maintain positive and productive relationships with our regulators, if necessary we will use our resources to contest this matter in the courts, with the intent of both defending our crypto business and establishing regulatory clarity in the United States for the benefit of our customers."

Despite the transfer of DOGE, the impact on its price has been minimal. At the time of writing, DOGE is trading at $0.149, showing a fractional increase over the past 24 hours.

Source: https://thebittimes.com/dogecoin-doge-valued-at-25-000-000-leaves-robinhood-crypto-in-the-wake-of-the-sec-s-wells-notice-tbt87925.html