Robinhood, the popular trading platform, announced that it will end support for Cardano (ADA), Polygon (MATIC) and Solana (SOL) on June 27th, 2023 at 6:59 PM ET. This decision comes after the tokens were named as securities in recent Securities and Exchange Commission (SEC) lawsuits against Binance and Coinbase. No other coins are affected and your crypto is still safe on Robinhood, the company said in a blog post. Users are able to continue trading and transferring the three tokens on the app until the deadline. After support stops on June 27, tokens left in a user’s account will be automatically sold for market value.
The decision is part of the company’s regular review of cryptocurrencies. After the delisting, the platform will offer trading for 15 different crypto currencies, including bitcoin (BTC), ether (ETH), dogecoin (DOGE), and avalanche (AVAX).
Dan Gallagher, Robinhood Markets’ chief compliance lawyer, said during a recent industry testimony in the U.S. House of Representatives that the company tried to register as a special-purpose broker for digital assets but couldn’t get the SEC to guide the trading platform into crypto compliance.
Both Solana and Cardano have rejected the claims of the tokens being a security, while Polygon declined to comment earlier to journalists about the matter. The three tokens were mostly unchanged on Friday, after taking a hit earlier this week, following SEC lawsuits.