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SEC enforcement action creates a silver lining for GMX, Lido (LDO) and Maker (MKR) price

Published 02/15/2023, 02:02 PM
Updated 02/15/2023, 03:40 PM

The United States Securities and Exchange Commission (SEC) has started ramping up its crackdown on the crypto industry and recent enforcement actions had a negative impact on crypto prices last week and at the start of this week.

The SEC is focusing on stablecoin issuers. The most recent SEC stablecoin crackdown was on Feb. 13 through the issuance of a Wells Notice to Paxos Trust Company, the issuer of Binance USD (BUSD). While Paxos denies that BUSD is a security, which would place it outside the SEC’s jurisdiction, some lawyers say the answer is not so simple, which creates fear that other top stablecoin issuers like Circle’s USD Coin (USDC) could be next.

Stablecoin market caps. Source: Nansen
BUSD market cap. Source: CoinGecko
Maker fees and token holders. Source: Token Terminal
Binance daily net flow. Source: Dune
GMX key metrics. Source: Token Terminal
Lido key metrics. Source: Token Terminal

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