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US DeFi Protocols Fined Over Illegal Derivatives Offerings

Three DeFi protocols must “cease and desist" from violating CFTC regulations.

US DeFi Protocols Fined Over Illegal Derivatives Offerings

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The Commodity Futures Trading Commission (CFTC) has charged three decentralized finance (DeFi) protocols with offering illegal digital asset derivatives trading.

The CFTC has accused 0x, Opyn, and Deridex of illegally offering leveraged commodities to US retail customers. Specifically, 0x is being charged for a token “issued by a third party unaffiliated with ZeroEx, that provided traders approximately 2:1 leveraged exposure to digital assets such as ether and bitcoin.”

Opyn and Deridex are accused of operating an unlicensed derivatives exchange, not following the KYC and AML rules set by the Bank Secrecy Act, and not failing to block U.S. users from accessing their platform.

Opyn, ZeroEx, and Deridex have agreed to settle with the Commission and will pay fines of $250,000, $200,000, and $100,000, respectively.

ZRX is down 0.8% over the last 24 hours, according to CoinGecko.

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