The US Securities and Exchange Commission says it does not view memecoins as securities but warned any fraudulent tokens could still be subject to enforcement actions by other regulators.

The firm is looking at some of the industry’s largest crypto exchanges, such as Binance, Coinbase and Crypto.com, Bloomberg reported on Feb. 22, citing people familiar with the matter. Citadel initially plans to set up market-making teams outside the US.

The SEC’s Enforcement Division informed Robinhood on Feb. 21 that it had concluded its investigation and would not recommend any enforcement action. Robinhood disclosed this information in a Feb. 24 announcement.

In his speech, Panetta also revealed an ongoing partnership between the central bank of Italy and the Commissione Nazionale per le Societa e la Borsa (Consob), an agency responsible for regulating the Italian securities market.

Panetta pointed to the differences in approach between Europe and the US, noting that the Trump administration’s executive order on digital financial technology, issued on Jan. 23, suggests an inclination toward integrating crypto assets into the financial system.

In a statement on Jan. 17, the SEC alleged that Nova Labs sold unregistered securities by offering electronic devices called “Hotspots,” which mine the company’s cryptocurrency, Helium (HNT), as well as a program called “Discovery Mapping,” where users could trade their private data for crypto.

Preetam Rao, CEO of QuillAudits, a Web3 security company, expressed concerns about the TRUMP token’s allocation structure and purpose.

“Eighty percent of the supply is locked for CIC Digital, a company owned by the Donald Trump Revocable Trust. This is the same entity that launched Trump NFT Trading Cards three years ago. The website says it’s ‘not an investment but a show of support,’” Rao said.

Italy’s central bank and securities regulator are in discussions with crypto service providers to ensure adequate safeguards against financial and cybersecurity risks, according to Bank of Italy Governor Fabio Panetta.

Panetta discussed key issues related to crypto assets, digital finance and cybersecurity risks pertaining to global and European regulations at the 31st Assiom Forex Congress on Feb. 15.

He emphasized that while Europe has adopted the Markets in Crypto-Assets Regulation (MiCA) to protect investors, the United States continues to regulate crypto on a case-by-case basis depending on whether assets are classified as securities.

Nine platforms have secured licenses from the Securities and Futures Commission (SFC) so far. HashKey obtained its license in November 2022 and was one of only two licensed exchanges in Hong Kong until late 2024.

However, it remains to be seen whether or not the incoming Attorney General of the United States, Pam Bondi, takes enforcement action against Trump or the memecoin, Lesperance added.

Traders were initially skeptical of the token, as many unofficial copycats currently exist — including one from Martin Shkreli, with the ticker symbol DJT.

However, the memecoin was later confirmed as authentic by the Trump family — driving the price of the token higher.

Since launching on Jan. 17, the Trump token surged by over 12,500% and hit a high of approximately $35 on Jan. 18 before falling down by roughly 35%.

c37513757

@c37513757