Published on February 23, 2024 02:54 GMT+00:00edited on February 23, 2024 02:59 GMT+00:00

Kraken filed a motion Thursday to dismiss the Securities and Exchange Commission’s November lawsuit that accused the crypto exchange of multiple charges including operating without registration, failing to prevent known conflicts of interest and commingling client funds.

In addition to filing the motion, Kraken said in a blog post on Thursday that the SEC’s claim is flawed, as the agency argued that the crypto exchange operates an unlicensed platform for “investment contracts” without identifying any “contract” between Kraken users and token issuers.

“None of the assets in the SEC’s Complaint are investment contracts under the law,” the exchange said. “For eight decades, the U.S. Supreme Court and Ninth Circuit (where this case was filed) have always required that the SEC identify a …