Crypto Exchange Founder Fined in First SEC Registration Case

  • EtherDelta executed trades without proper license, agency says
  • Regulator has called on digital asset platforms to register
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The U.S. Securities and Exchange Commission has taken its first enforcement action against a cryptocurrency exchange, resolving allegations against the founder of a digital trading platform accused of failing to register his company with the agency.

Zachary Coburn’s EtherDelta marketplace executed more than 3.6 million orders for certain tokens without registering as a an exchange, the SEC said in a statement Thursday. Without admitting or denying the findings, he agreed to pay a $75,000 fine as well as $313,000 in disgorgement and interest. Coburn’s cooperation helped him win a lower fine, the SEC said.