Techub News reported that according to Cointelegraph, the U.S. Federal Court for the Northern District of California rejected the cryptocurrency trading platform Kraken's request to dismiss the U.S. Securities and Exchange Commission (SEC) lawsuit in its ruling on August 23.

Previously, the SEC lawsuit accused Kraken of operating an unregistered securities trading platform. The U.S. Federal Court for the Northern District of California believed that the SEC's allegations that some of the cryptocurrency transactions conducted by the Kraken platform on its network constituted investment contracts and therefore were securities and therefore subject to securities laws were reasonable. The final ruling on this case has not yet been made.