The crypto market recently experienced a heavy sell-off, with major blockchain tokens such as Solana, polygon, and cardano recording double-digit losses. Rumors circulated that a major crypto fund had sold its holdings, and several altcoins lost nearly $400 million through liquidation. Binance CEO Changpeng Zhao denied rumors that the exchange had converted its crypto holdings to fiat, and he had no knowledge of Robinhood dumping $1.3 billion worth of altcoins on the market. However, this sell-off comes amid regulatory scrutiny of Binance and other crypto exchanges.

The U.S. Securities and Exchange Commission recently filed a lawsuit against Binance and Coinbase, identifying 13 tokens as securities. As a result, tokens such as bnb, dogecoin, and xrp fell by over 11%, while Bitcoin and ether dropped by 3.6% and 4.5%, respectively. Crypto-tracked futures also saw nearly $300 million in liquidations in the early hours of Saturday. The regulatory scrutiny of crypto exchanges has caused concern among investors and traders, leading to market volatility and sell-offs.

In this climate of regulatory uncertainty, crypto exchange FTX has been allowed to permanently remove individual customer names from court filings. Company and institutional investor names will be temporarily sealed. Recently, media firms including Bloomberg and The New York Times have pushed for access to FTX’s customer list, arguing for the “presumptive right of access to bankruptcy filings.” FTX has opposed these requests, arguing that disclosing names could put individuals at risk and undermine the sale value of the crypto exchange.

As the crypto market navigates this unprecedented regulatory landscape, investors and traders must prepare for potential volatility and market fluctuations. It remains to be seen how the regulatory scrutiny of crypto exchanges will impact the wider market and whether the sell-off will continue in the coming weeks. However, one thing is clear: the crypto market is still highly susceptible to human emotions, and investors must remain vigilant and prepared for any developments.