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The Securities and Exchange Commission has claimed that several prominent altcoins, including ADA, MATIC, and SOL, qualify as unregistered securities.
Following the allegations, most assets experienced a decline in value. However, the entities associated with the blockchains and tokens have since issued official statements to counter the SEC’s assertions.
Polygon Responds
MATIC was priced at $0.9 last week, just days prior to the SEC’s actions against Binance and Coinbase, where it was alleged in the lawsuits that the asset is an unregistered security. Initially, MATIC fell in line with the broader market to $0.8. Nonetheless, the situation deteriorated on Friday when it dropped nearly 40% in a single day, reaching a multi-month low of $0.5.
In light of the significant price declines, Polygon Labs opted to address the allegations. The organization stated that the Polygon blockchain was “developed outside the US, deployed outside the US, and continues to focus on the global community that supports the network.”
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“MATIC was an essential component of the Polygon technology from Day 1, ensuring that the network would be secure – and it remains so today. Given our emphasis on network security, we ensured MATIC was accessible to a broad audience, but only through actions that did not target the US at any time.” – the statement reads.
Solana Disagrees, too
SOL’s trajectory mirrored that of MATIC, as it too faced allegations of being an unregistered security. It was valued at $22 last Sunday, dipped to just below $20 during the week, and then fell by over 30% on Friday and Saturday.
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The Solana Foundation, akin to the team behind Cardano, has also rejected the SEC’s claims. The statement indicated that the SF is eager to collaborate with global regulators to create clear legislative frameworks but “disagrees with the characterization of SOL as a security.”
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