Cumberland halts Filecoin trading

The over-the-counter cryptocurrency platform Cumberland will halt trading of the Filecoin (FIL) cryptocurrency with counterparties. The Block reports, citing a company statement. 

The company said the decision was driven by caution amid the existing regulatory environment. The announcement comes as regulators in the United States tighten oversight of crypto market participants.

The decision takes effect on June 1 at 19:00 Kyiv time. At the same time, “all FIL trades entered into before that time will be settled in accordance with ordinary procedures”, the company said.

As of writing, the price of Filecoin over the past 24 hours had fallen by 1.02% to $4.64, with a market capitalization of $1.9 billion, according to CoinMarketCap.

Earlier, Grayscale Investments, in response to a registration filing for the Grayscale Filecoin Trust, received a comment from the SEC, that Filecoin, in the agency’s view, corresponds to definition of a security.