TLDR:

• Nvidia CEO Jensen Huang confirmed Samsung is manufacturing the Groq LP30 AI chip using its 4-nanometer process.
  
• Samsung shares climbed as much as 5%, outpacing the broader South Korean market, which rose just 2.7% on Tuesday.
  
• Analysts at Heungkuk Securities project Samsung’s foundry division could reach breakeven by late 2027 despite headwinds.
  
• AMD CEO Lisa Su is set to meet Samsung Chairman Jay Y. Lee in South Korea to discuss semiconductor cooperation on Wednesday.

Samsung Electronics shares surged as much as 5% on Tuesday after Nvidia CEO Jensen Huang confirmed the South Korean company was manufacturing Nvidia’s newest AI chips.

Huang announced at Nvidia’s GTC developer conference in California. The news shifted market sentiment around Samsung’s long-troubled foundry division.

Analysts now believe the unit could recover as early as next year. Samsung shares settled at 196,800 won, up 4.3%, in early trading on Tuesday.

Samsung Foundry Gains Momentum From Nvidia’s GTC Conference

Samsung’s foundry division has endured years of mounting financial losses. The unit has posted billions of dollars in annual losses, straining the broader company.

However, Nvidia’s public acknowledgment at GTC changed the conversation for investors. Markets responded quickly once Huang’s remarks circulated widely.

At the event, Huang unveiled Nvidia’s new AI inference processor built on Groq chip startup technology. He credited Samsung directly for manufacturing the Groq LP30 chip.

Huang stated, “I want to thank Samsung who manufactures the Groq LP30 chip for us and they’re cranking as hard as they can.” He further confirmed the chips were already in production and would ship in the second half of 2026.

Samsung also displayed the Nvidia chips produced using its 4-nanometer manufacturing process at the conference. That demonstration added further confidence in Samsung’s technical standing.

The 4nm process is regarded as highly competitive across the global foundry market. It places Samsung alongside leading manufacturers in terms of production advancement.

Analyst Sohn In-joon of Heungkuk Securities said the foundry unit could reach breakeven later next year. However, he noted that weak mobile phone demand could still slow recovery.

Rising memory chip prices have been suppressing demand from that segment. Therefore, while the outlook is improving, some headwinds remain in place.

AMD CEO Lisa Su to Meet Samsung Chairman Jay Y. Lee in South Korea

Beyond the Nvidia development, another notable meeting has drawn industry attention. Advanced Micro Devices CEO Lisa Su is set to meet Samsung Chairman Jay Y. Lee on Wednesday.

The meeting will take place in South Korea, according to media reports. Discussions are expected to cover memory chips and logic semiconductor cooperation.

Samsung’s foundry division already counts Tesla and Apple among its major customers. Adding Nvidia, even through the Groq partnership, strengthens that client base considerably.

Meanwhile, a potential AMD collaboration could further expand Samsung’s foundry footprint. Together, these developments suggest a more active commercial pipeline ahead.

The broader South Korean stock market also rose 2.7% on Tuesday. Samsung’s gains outpaced the overall index, reflecting investor confidence specific to the company.

The Nvidia confirmation combined with the AMD meeting prospects pushed sentiment higher. Market watchers are now tracking both fronts closely for further developments.

Samsung’s foundry business continues to face pressure from mobile demand and memory pricing cycles. That said, the Nvidia partnership represents a concrete win for the division’s recovery narrative.

Shipment timelines in the second half of 2026 will be closely monitored by analysts. For now, the market has responded with a clear and measurable show of confidence.

The DeFi Education Fund, a prominent lobbying group, and Beba, a Texas-based apparel company, have dropped a lawsuit against the US Securities and Exchange Commission.

The lawsuit was filed back in 2024 as a pre-enforcement challenge, where the plaintiffs argued the SEC had adopted its digital asset enforcement policy without going through a formal notice-and-comment rulemaking process.

However, under new leadership, the commission has since taken a more accommodating stance toward the crypto sector, which has led to the voluntary dismissal filed on Friday. The filing was made without prejudice, which means the plaintiffs can refile the case at a later stage if needed.

Over the past year, regulatory signals have started to evolve, including remarks from Commissioner Hester Peirce, who has indicated that airdrops may not fall under securities laws. Meanwhile, the filing also noted that the SEC is exploring a potential exemption framework for airdrops.

“Given the good work done by the SEC Crypto Task Force and recent speeches that suggest a change in the Commission’s position regarding free airdrops, we decided continuing was unnecessary for the time being and we can re-file if we need to later on,” the DeFi Education Fund wrote in an X post.

It added that the SEC Crypto Task Force is expected to address airdrops soon, which remains the central issue behind the original lawsuit.

Under Gary Gensler, the commission was heavily criticized for its enforcement-first approach. During his time, Gensler presided over dozens of enforcement cases against major digital asset exchanges and DeFi protocols instead of focusing on rulemaking and clear regulatory guidance.

Now, with a pro-crypto leadership at the helm, the SEC has leaned into crypto legislation and has prioritized collaborative dialogue with industry participants.

The SEC has also dismissed or settled outstanding cases against several prominent blockchain firms and their executives.

After months of steady outflows, XRP reserves on Binance have quietly climbed back toward 2.7 billion tokens.

According to data from on-chain analytics company Santiment, the XRP Ledger (XRPL) has reached a record high of more than 7.7 million non-empty wallets in its 13-year history.

The record number of wallets came with a 14% rise in XRP’s price over 48 hours that momentarily sent the token above $1.60, its highest level in weeks.

Network Activity and Price Performance

Per Santiment’s data, the number of active addresses on XRPL reached a five-week high of 46,767, with the network growth coinciding with a price move that saw the asset climbing from a weekly low of $1.37 to a 24-hour high of $1.60, before it dropped a little and was trading near $1.52 at the time of writing.

This current price is a 10% markup over one week for the Ripple token, meaning it is significantly outperforming the broader crypto market, which has risen by just over 6% in the same period, according to data from CoinGecko.

However, XRP is still more than 58% below its all-time high of $3.65 from July 2025. It is also still in the red over longer timeframes, with its 12-month performance down nearly 36%, and its run in the last 30 days also a little negative at -0.5%.

On March 16, analyst CW posted a chart that showed the $1.50 level was a big sell wall for XRP, but they said that a clean break above it would mean little resistance until $1.95.

Meanwhile, CryptoWZRD had already pointed out $1.43 as a key level to watch, also saying that a break above it could lead to a longer recovery.

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Exchange Reserves Up

Elsewhere, Arab Chain presented a separate report that provided some nuance. According to them, XRP’s reserves on Binance are at their highest level since late last year.

What’s interesting is that they had been dropping steadily in the last couple of months, going from over 2.8 billion XRP in November 2025 to a low of 2.55 billion XRP in February 2026.

Arab Chain explained that such trends often mean that holders are moving their coins off exchanges and into wallets or cold storage for long-term accumulation.

But in the last few weeks, the investors have been putting their stash back on exchanges, pushing XRP reserves on Binance to around 2.7 billion, in what the analysts suggested could be a renewed desire for trading or for the redistribution of liquidity within the market.

“Structurally, a rise in reserves on exchanges is often interpreted as a potential increase in the tradable supply in the spot market, as a larger quantity of coins becomes available for immediate trading,” the market watchers wrote.

Texas-based apparel brand Beba and the DeFi Education Fund have withdrawn a 2024 pre-enforcement challenge against the SEC related to the agency’s approach to crypto airdrops. The voluntary dismissal, filed in the Western District of Texas, arrives as policymakers and industry observers monitor a shift in how the regulator talks about and treats token distributions. In March 2024, Beba launched a free token airdrop, prompting the lawsuit, which alleged the SEC had adopted a digital asset enforcement framework without formal notice-and-comment rulemaking. The withdrawal signals that the parties see benefits in waiting for clearer regulatory guidance as the SEC’s stance appears to be moving away from a purely enforcement-driven posture.

Key takeaways

• The case was dismissed without prejudice, preserving the right to refile if guidance materializes or if the parties deem it necessary.
• The filing highlights the SEC Crypto Task Force’s work and statements by Commissioner Hester Peirce, which suggest airdropped tokens may not be securities under certain circumstances.
• A January White House executive action reportedly encouraged the regulator to establish a “safe harbor for certain airdrops,” aligning with the evolving discourse on crypto policy.
• DeFi Education Fund described the decision as a response to the changing regulatory environment and the likelihood that forthcoming guidance could address the foundational issues raised in the suit.
• The move occurs amid broader signals of regulatory recalibration in the crypto space, including the recent handling of long-running enforcement actions and other high-profile cases.

Sentiment: Neutral

Market context: The landscape for crypto regulation in the United States has been shifting, with advocates calling for formal rulemaking rather than enforcement-by-litigation. The departure of a long-standing line of arguments from prosecutors and the appearance of a more consultative approach—evidenced by task-force commentary and executive actions—have added a layer of nuance to how projects conduct token distributions and how exchanges classify assets.

Why it matters

For investors and builders, the voluntary dismissal signals a potential near-term reduction in regulatory friction around airdrops, at least pending forthcoming guidance. If the SEC Crypto Task Force delivers a clear framework or if a safe harbor emerges, teams may design token distributions with greater legal clarity, potentially accelerating legitimate experimentation while preserving compliance safeguards.

From a policy standpoint, the case underscores the central role of the SEC’s Task Force in shaping enforcement and rulemaking trajectories. The speeches and discussions around whether certain airdrops can be exempt from security classifications directly influence how projects structure distributions, how custodians and exchanges classify tokens, and how investors assess risk in new token launches.

While the narrative suggests a potential easing of some enforcement pressures, the absence of formal, binding rulemaking means industry participants should remain vigilant. The interplay between public statements, proposed exemptions, and actual regulatory actions will likely determine how quickly the market adapts and how confidently projects can proceed with token drops without triggering unintended compliance pitfalls.

What to watch next

• The SEC Crypto Task Force’s forthcoming guidance or rulemaking related to airdrops and token distributions.
• Any formal White House or agency announcements outlining safe harbors or exemptions for crypto distributions.
• Whether the plaintiffs refile their challenge if new guidance does not materialize or proves incomplete.
• Subsequent enforcement actions or settlements that illustrate the regulator’s current stance post-change in leadership and policy signals.
• Ongoing discussions around BitClout-related litigation and other crypto cases highlighted in policy discourse and industry coverage.

Sources & verification

• Notice of voluntary dismissal in Beba LLC and DeFi Education Fund v. Securities and Exchange Commission filed in the Western District of Texas. source
• SEC Crypto Task Force work and statements by Commissioner Hester Peirce cited in related discussions. source
• Recent coverage on regulatory shifts and enforcement actions, including ongoing debates about crypto exemptions and rulemaking. source
• Nader Al-Naji BitClout case dismissal and related regulatory developments. source
• Analyses of the SEC’s evolving approach to crypto law, including discussions on the potential for exemptions and safe harbors. source

Regulatory shifts prompt voluntary dismissal of crypto-airdrop lawsuit

The voluntary dismissal of the Beba and DeFi Education Fund lawsuit encapsulates a broader moment for crypto regulation in the United States. The case itself arose from a perceived disconnect between how the SEC polices crypto issues and how policy makers imagine legitimate distribution mechanisms. In March 2024, Beba launched a free token airdrop, setting the backdrop for a challenge that accused the commission of moving forward with a digital asset enforcement framework without formal notice-and-comment procedures mandated by the Administrative Procedure Act. The plaintiffs argued that the SEC’s actions reflected a departure from the traditional rulemaking process, a concern that resonated with others in the fast-moving crypto ecosystem that seeks predictability in compliance standards.

What prompted the move to dismiss appears to be twofold. First, the parties cited the work of the SEC Crypto Task Force and the remarks delivered by Commissioner Hester Peirce over the past year, which suggested that not all airdrops should be treated as securities. Peirce’s public discussions highlighted the possibility of an exemption framework for airdrops, signaling a potential regulatory path forward that could reduce legal ambiguity for legitimate token distributions. Second, the White House’s January executive action, which encouraged the regulator to explore a safe harbor for certain airdrops, added political and administrative momentum to a more nuanced regulatory posture. Together, these factors created a landscape in which continuing litigation might prove unnecessary if the regulatory framework were to evolve in a way that addresses the core concerns raised by the plaintiffs.

In the court filing, the DeFi Education Fund stressed that the SEC’s evolving stance justified stepping back—at least temporarily. “Given the good work done by the SEC Crypto Task Force and recent speeches that suggest a change in the Commission’s position regarding free airdrops, we decided continuing was unnecessary for the time being and we can re-file if we need to later on,” the group stated in a post on X. The DEF also signaled its expectation that the Task Force would soon address airdrops more explicitly—the central issue at the heart of the lawsuit. The filing further notes the possibility of refile if the agency’s forthcoming guidance fails to materialize or proves inadequate, preserving the litigants’ rights without foreclosing future action.

Beyond the specifics of this case, the shift aligns with broader regulatory dynamics that unfolded after the tenure of former SEC Chair Gary Gensler. Historically, critics argued that policy tended to emerge through enforcement actions and settlements rather than open-rulemaking. The narrative shifted again with leadership changes and a series of enforcement actions that were dismissed or resolved in the months that followed. The combination of task-force work, public speeches, and executive signaling points to a more deliberate, if still evolving, framework for distinguishing securities from non-securities in the crypto space. For participants, this means a growing expectation that the SEC may offer more defined guardrails, even if not yet codified in formal rules.

In practical terms, the case illustrates how policy dialogue can influence corporate tactics. Projects considering airdrops must weigh the risk of classification as securities against the possibility of exemptions or safe harbors that may be introduced in the near term. Exchanges and developers will likely watch for formal guidance before committing to complex token-distribution schemes, especially those that resemble traditional fundraising activities. While the dismissal removes an immediate legal challenge, it does not erase the fundamental questions about how the SEC will define and regulate token distributions over the coming quarters.

Spot Bitcoin exchange-traded funds in the US have now logged their longest streak of inflows since October last year, extending to six consecutive days as Bitcoin climbed over 12% during the same period.

According to data from Farside Investors, Bitcoin ETFs pulled in $199.4 million in net inflows on Monday, with BlackRock’s iShares Bitcoin Trust leading the charge at $139.4 million, followed by Fidelity’s Wise Origin Bitcoin Fund at $64.5 million.

Other funds such as the Bitwise Bitcoin ETF and Franklin Bitcoin ETF recorded modest inflows of $2.8 million and $2.1 million, while products from VanEck and ARK 21Shares moved in the opposite direction, posting outflows of $6.3 million and $3.1 million, respectively.

Cumulative flows have now reached $962.8 million since March 9, tracking closely with Bitcoin’s move from $65,960 to $74,250 over the same stretch. 

However, the current run remains smaller than the nine-day inflow streak seen between September and October 2025, when Bitcoin ETFs absorbed nearly $6 billion as prices pushed toward a peak of $126,080.

One of the primary reasons behind the latest resurgence of institutional demand is the digital gold narrative. Analysts have highlighted that Bitcoin has outperformed a number of traditional risk assets and even some commodities, even as geopolitical tensions across the globe have rattled traditional equity markets.

Investors have now started rotating into Bitcoin as the battle-tested geopolitical hedge and a decentralized store of value.

Against this backdrop, concerns over sticky global inflation are adding another layer of bullish sentiment to Bitcoin’s narrative, specifically as a hedge against fiat currency debasement.

Lastly, rumors of a potential de-escalation between the US and Iran are a contributing factor behind Bitcoin’s latest recovery above the $74,000 mark, according to Santiment.

TLDR:

• Three Tennessee minors filed a federal suit against xAI for allegedly designing Grok to enable explicit image creation.
• Plaintiffs allege their school and family photos were turned into child sexual abuse material and shared online.
• xAI blocked explicit image editing in January after public outcry, but plaintiffs argue the response came too late.
• The lawsuit seeks class-action status for all U.S. individuals identifiable in Grok-generated explicit content nationwide.

Three Tennessee plaintiffs, including two minors, have filed a federal lawsuit against Elon Musk’s xAI. The case, filed in San Jose, California, alleges that xAI knowingly designed its Grok image generator to produce sexually explicit content using real photos of others.

All three plaintiffs were minors when the alleged images were created. The lawsuit seeks class-action status for U.S. individuals identifiable in such AI-generated content. xAI had not responded to requests for comment at the time of publication.

Plaintiffs Claim xAI Built Grok to Enable Explicit Content Creation

The three Tennessee plaintiffs allege that xAI deliberately built Grok without adequate safeguards. They say the platform was designed in a way that allowed users to generate explicit images from real photographs.

Their own school pictures and family photos were reportedly used to create child sexual abuse material. These images were then shared across online platforms, causing severe emotional distress.

Plaintiffs’ counsel Annika Martin of Lieff Cabraser Heimann & Bernstein spoke directly on behalf of the victims. “These are children whose school photographs and family pictures were turned into child sexual abuse material,” Martin said.

She further alleged that xAI and Elon Musk deliberately designed Grok to produce sexually explicit content for financial gain. “With no regard for the children and adults who would be harmed,” she added in her statement.

The plaintiffs are seeking unspecified damages and legal fees from xAI. They are also requesting a court injunction to stop xAI from continuing the alleged practices.

Their case focuses specifically on Grok’s image generation feature and its alleged misuse. This targeted legal approach strengthens the argument that the tool itself was the core problem.

The lawsuit is seeking broad class-action recognition across the United States. Any person reasonably identifiable in Grok-generated explicit content may qualify for the class.

This extends the potential reach of the case far beyond the three named Tennessee plaintiffs. Legal analysts say the case could set a precedent for AI platform liability nationwide.

Plaintiffs Argue xAI’s Delayed Response Was Insufficient

The three plaintiffs maintain that xAI failed to act swiftly when the problem first emerged. xAI only announced restrictions on editing real people’s images in January, following a wave of public outcry.

The company said it had “blocked all users from editing images of real people in revealing clothing.” It also restricted generating such images in “jurisdictions where it’s illegal,” according to the company’s statement.

However, the plaintiffs argue these steps came far too late to prevent the harm already done. Governments and regulators around the world have also responded to the growing concerns.

Probes have been launched, bans imposed, and safeguards demanded from AI companies globally. The Tennessee plaintiffs’ case adds to this mounting wave of legal and regulatory pressure.

The plaintiffs’ experience draws attention to how AI tools can be weaponized against real individuals. Grok’s alleged failure to filter real identities from explicit content creation remains central to the case.

Martin stated that xAI’s design choices were made with “no regard for the children and adults who would be harmed.” Their story reflects a broader pattern of victims left vulnerable by unchecked AI systems.

The outcome of this case could reshape how AI image generators are built and regulated going forward. If xAI is found liable, other companies may face pressure to overhaul their own content safety systems.

The case is expected to move through federal court over the coming months. For the three Tennessee plaintiffs, the lawsuit represents a fight for accountability and protection.

TLDR:

• Bitcoin 30-day volume delta on Binance flipped from -$145M in February to a positive +$21M today.
  
• Coinbase volume delta recovered from -$88M to +$14M, marking a shift away from February’s sell-side dominance.
  
• The Fed’s upcoming FOMC meeting carries a 99% chance of no rate change, with forward guidance as the main focus.
  
• Crypto market liquidity remains thin, meaning sustained buyer volume is still needed to confirm a breakout move.

Bitcoin is showing renewed buyer interest following a prolonged period of heavy selling pressure in February. Volume data from Binance and Coinbase reflects a gradual but measurable shift back toward buyers.

This change arrives amid escalating geopolitical tensions and a closely watched Federal Reserve meeting. Market probabilities currently point to a 99% chance of no rate change at the upcoming FOMC gathering. Risk assets broadly remain under pressure across global financial markets.

Volume Delta Recovers on Major Crypto Exchanges

Crypto analyst Darkfost recently flagged a notable change in volume dynamics across major trading platforms. In a post on X, Darkfost noted that on February 16, the 30-day moving average volume delta on Binance stood at a deeply negative -$145M.

Coinbase recorded a similar reading of -$88M during that same period. Sellers dominated both exchanges with clear conviction at the time.

Both retail and institutional participants were aligned on the sell side throughout most of February. That shared positioning reflected a broader risk-off tone sweeping through financial markets at the time.

Equities and commodities also exhibited toppish market structures during this stretch. Selling pressure across multiple asset classes was broadly coordinated.

As of now, those same averages have moved back into positive territory on both platforms. Binance currently shows approximately +$21M, while Coinbase registers around +$14M in buyer-side volume.

The recovery remains modest but represents a clear departure from prior conditions. It marks the first meaningful reversal of February’s dominant sell-side trend.

Bitcoin’s relative resilience during this period adds further context to the volume shift. Unlike equities and commodities, it held up comparatively well despite mounting macro pressures.

That outperformance continues to draw attention from market watchers and experienced traders. The asset attracted renewed buyer interest even within an unfavorable risk environment.

FOMC Guidance and Thin Liquidity Shape the Path Forward

The Federal Reserve’s upcoming meeting presents another layer of uncertainty for risk asset markets. Current probabilities place the likelihood of no rate change at roughly 99%.

Traders are therefore shifting attention away from the decision itself toward forward guidance. Any indication of future rate hikes could weigh heavily on broader market sentiment.

If the Fed reintroduces rate hike language, it would likely dampen risk appetite across financial markets. Bitcoin, as a risk-sensitive asset, would not be entirely shielded from such a development.

The tone of forward guidance carries more weight than the rate decision itself this cycle. Market participants will scrutinize every statement from Fed officials very closely.

Liquidity across the crypto market remains relatively thin at this point. That thinness creates conditions where price moves can become more exaggerated in either direction.

A sustained increase in buyer volume would be necessary to support any convincing upside breakout. The current improvement in volume delta has not yet reached that confirmation threshold.

That said, the trajectory of buyer activity is moving in the right direction for Bitcoin. As Darkfost noted, continued momentum in buying volumes could gradually support price action.

A breakout from the current trading range would require this trend to hold and deepen further. Market participants will be watching volume data closely over the sessions ahead.

Bitcoin price briefly surged to a six-week high of $75,937 on Tuesday, as over $330 million in short positions were liquidated in the past 24 hours.

According to data from crypto.news, Bitcoin (BTC) price touched an intraday high of $75,937 on March 17, morning Asian time, as it broke past the $75,000 resistance for the first time since early February. The bounce past the key psychological level triggered a market-wide rally with altcoins such as MemeCore (M), FET, and Zcash (ZEC) leading gains with double-digit rallies on the day.

Bitcoin’s surge led to large-scale liquidations across leveraged crypto markets. According to data from CoinGlass, nearly $498 million was liquidated, with over $330 million coming from short positions as traders closed bearish positions opened during the early February market sell-off. Bitcoin alone specifically accounted for $118 million of those short liquidations.

Another major tailwind that supported today’s rebound is the return of consistent inflows into spot Bitcoin ETFs, signaling strong institutional demand. Data compiled by SoSoValue shows that the 12 U.S. spot Bitcoin ETFs drew in over $200 million over the past day, extending their inflow streak to 6 straight days that drew in nearly $1 billion in total.

Investors are also viewing Bitcoin as a safe-haven asset amid geopolitical tension in the Middle East, especially since traditional safe-haven assets such as gold and silver have shown relative weakness in recent days.

On the daily chart, Bitcoin price seems to be forming a rounded bottom pattern, a typical reversal pattern in technical analysis. The 20-day SMA is closing in on a bullish crossover with the 50-day SMA, a sign that short-term momentum is turning positive.

For now, the next key resistance level that traders are watching currently lies at $79,000 highs seen during February, and aligns with the 50% Fibonacci retracement level.

A sharp breakout from this level could push prices to as high as $89,850, which would be the neckline of the double bottom formed. On the contrary, failure to hold $72,000 support could lead to a retest of lower levels.

At press time, Bitcoin price was hovering around $74,000, still holding onto 6% gains over the weekly period.

The U.S. Securities and Exchange Commission has put forward a proposal which, according to SEC commissioner Hester Peirce, could help clear up years of confusion around how a key broker-dealer rule applies across markets.

On Monday, the SEC proposed an amendment to Rule 15c2-11 that would limit reporting requirements for broker-dealers in the over-the-counter market to equity securities only, effectively reversing the broader interpretation introduced in 2021.

The SEC Rule 15c2-11 was first introduced in 1971 to ensure broker-dealers maintain up-to-date issuer information before they can publish over-the-counter quotes.

By placing obligations for firms to review and maintain current information about an issuer, the rule was designed to reduce risks in thinly traded markets, particularly in penny stocks.

Without this information, a broker-dealer is not allowed to initiate or resume quotations for a security in OTC markets.

However, the rule was reinterpreted in 2021 to extend beyond equities into other asset classes, and as a result, there have been questions around whether it can apply to crypto assets if they are classified as securities.

The SEC’s proposal would limit the rule’s scope to equity securities.

As such, broker-dealers won’t be required to apply these reporting requirements to crypto assets, even in cases where questions around their classification as securities remain unresolved.

This could make it easier for broker-dealers to support crypto trading and quote digital assets without having to rely on disclosure standards that do not align with how these assets function.

A public comment period has been opened where the commission is seeking feedback on whether the definition of equity securities should extend to crypto assets and how the rule should apply going forward.

According to Commissioner Peirce, who also leads the agency’s crypto task force, the proposal could help address confusion created by the earlier interpretation.

“By its terms, the text of Rule 15c2-11 always has applied to quotations of a ‘security.’ Market participants and other observers including me, however, understood the rule to apply only to quotations of over-the-counter (‘OTC’) equity securities,”

However, it must be noted that there is still no final decision on whether “equity securities” could include crypto assets.

Peirce said she would closely watch “questions about the definition of ‘equity security,’ the rule’s application to crypto assets, and the appropriate next steps with respect to the formation of an ‘expert market.’”

Argentina has ordered a nationwide block of prediction market platform Polymarket, tightening its stance on what authorities describe as unlicensed online betting activity.

According to local media, a Buenos Aires court has directed regulators to move forward with enforcement after concluding that the platform operated outside the country’s legal gambling framework.

Authorities highlighted consumer protection risks among others, including the use of crypto payments, credit card deposits, and the absence of robust age or identity verification checks that could allow minors to participate.

There are also broader regulatory concerns behind this decision, tied to how prediction markets blur the line between financial speculation and gambling.

Authorities raised concerns about Polymarket’s handling of Argentina’s February inflation rate of 2.9% before the official release. Reports say the platform reportedly reversed its prediction just 15 minutes before the data was published, which authorities found suspicious.

The authorities concluded that the platform functioned as an online betting system rather than a neutral prediction market.

Subsequently, authorities asked the telecom regulator ENACOM to coordinate with internet service providers to enforce the block. Meanwhile, Google and Apple have been ordered to remove the platform’s apps, limiting access for local users.

The latest order also follows multiple complaints from entities such as the Buenos Aires City Lottery and the Argentine Chamber of Casinos and Bingos, which pushed for action against the platform.

Argentina now joins a long list of countries, notably across Europe and Latin America, that have taken action against the platform.

Last year, Colombia and Romania banned the platform, classifying it as unauthorized gambling activity within their jurisdictions.

Similar concerns have been raised across several states in the U.S., where regulators are examining whether event-based contracts offered by platforms like Polymarket fall under existing gambling or derivatives laws.

Separately, Polymarket is also facing scrutiny over its handling of markets tied to sensitive events, including contracts linked to death and violent outcomes, which have drawn criticism from lawmakers and prompted fresh legislative efforts.