Tens of millions of dollars worth of the meme asset Dogecoin (DOGE) has been transferred out of Robinhood Crypto after the firm received a Wells Notice from the U.S. Securities and Exchange Commission (SEC). The transfer of 164 million DOGE worth $25 million was revealed by blockchain-tracking platform Bitcoinsensus. This came after the regulatory agency notified Robinhood’s crypto branch that enforcement actions would be taken against it. The notice was received on May 6th.
SEC Abusing Power?
“If the SEC brings as many enforcement actions as it has sent Wells Notices, it will be in flagrant violation of both the law and its Congressional mandate. If not, it’s clearly abusing the Wells process to get free discovery and terrorize upstanding US companies. Which is it?” – Jake Chervinsky, crypto attorney
Crypto attorney Jake Chervinsky criticized the SEC, suggesting that it was using Wells Notices as a scare tactic. Robinhood CEO Vlad Tenev, however, vowed to challenge the SEC in court if necessary. Tenev expressed the company’s commitment to maintaining positive relationships with regulators and using its resources to defend its crypto business and establish regulatory clarity in the United States.
Impact on DOGE
Despite the news of the transfer, there was only a minimal impact on DOGE’s price. The digital asset is currently trading at $0.149, showing a fractional increase in the last 24 hours.
- Tens of millions of dollars worth of DOGE has been transferred out of Robinhood Crypto.
- Robinhood received a Wells Notice from the SEC, indicating upcoming enforcement actions.
- Crypto attorney Jake Chervinsky criticized the SEC’s use of Wells Notices.
- Robinhood CEO Vlad Tenev promised to challenge the SEC in court if necessary.
- The transfer had minimal impact on DOGE’s price, which is currently at $0.149.
