Large transactions on the Polygon (MATIC) network suddenly rose 742% as whales swooped into action following the latest regulatory crackdown on the cryptocurrency market.
IntoTheBlock, an on-chain analytics firm, classifies large transactions as those that exceed $100,000. It gives the volume of large transactions on the Polygon network as $64.44 million, an increase of 742% in the last 24 hours.
Large transactions often give an inkling of whales’ actions, and a spike in this metric might be due to a large quantity of buying or selling by this category of holders.
Altcoins are suffering the biggest losses following the SEC’s lawsuit against the biggest crypto exchanges, Binance and Coinbase. The entire cryptocurrency market is in the red, with declines of 5%-18% in most cryptocurrencies.
At the time of writing, MATIC was down 8.96% in the last 24 hours to $0.8. MATIC was alleged to be a security in both the Binance and Coinbase lawsuits.
SEC files lawsuit against Binance and Coinbase
On Tuesday, the U.S. Securities and Exchange Commission (SEC) filed a lawsuit against Coinbase, alleging that the crypto exchange was operating as a broker, national securities exchange and clearing agency without registering with the SEC.
It also alleged that the crypto assets that Coinbase makes available on its platform put its operations “squarely within the purview of the securities laws.”
Crypto assets named were SOL, ADA, MATIC, FIL, SAND, AXS, CHZ, FLOW, ICP, NEAR, VGX, DASH and NEXO.
On Monday, the crypto market was taken aback upon hearing the news that the U.S. Securities and Exchange Commission had sued crypto exchange Binance and its CEO Changpeng “CZ” Zhao for allegedly breaking federal securities laws.
The SEC alleged that Solana, Cardano, Polygon, COTI, Algorand, Filecoin, Cosmos, The Sandbox, Axie Infinity and Decentraland are securities.