Brokerage platform Robinhood will delist three cryptocurrencies due to actions of U.S. regulator SEC

Robinhood will delist three cryptocurrencies due to SEC actions
Brokerage platform Robinhood will delist three cryptocurrencies due to actions of U.S. regulator SEC
The brokerage platform will delist Solana, Cardano, and Polygon digital coins

Brokerage platform Robinhood will delist three cryptocurrencies because they were named as securities in lawsuits filed by the U.S. Securities and Exchange Commission (SEC) against cryptocurrency exchanges Binance and Coinbase.

The regulator sued the two leading cryptocurrency exchanges on June 5 and 6 and listed several digital assets in the lawsuits that it believes fall under the definition of securities. The media had already reported that Robinhood was planning to revise its product line because of this.

On June 9, the company announced that it would stop supporting Cardano (ADA), Polygon (MATIC), and Solana (SOL) cryptocurrencies as of June 27. Customers will be able to buy, sell and store these coins until the specified period expires. The remaining user funds in these cryptocurrencies will then be sold at market value, with the proceeds credited to the customer's Robinhood account.

All three named cryptocurrencies are among the top 20 largest digital assets by capitalization. According to CoinGecko, Cardano ranks eighth with $11.1 billion, Solana is tenth with a capitalization of $7.5 billion, and Polygon is 11th with a market value of $7.2 billion.

Solana Foundation, the organization behind Solana cryptocurrency, disputes the token's designation as security,

"Solana Foundation firmly believes that SOL is not a security.