The prominent crypto wallet developer had secured approval for its stock to be listed on the NYSE American.
The journey of Exodus Movement Inc to the NYSE American exchange has suddenly hit a roadblock. According to a recent announcement by the company, the listing of its Class A Common Stock is now postponed pending a decision by the Securities and Exchange Commission (SEC) to review its registration statement.
Exodus Journey to NYSE American Paused for SEC Scrutiny
Exodus had planned for its stock, with ticker EXOD, to begin trading on the small-cap equity trading platform today Thursday, 9 May. The prominent crypto wallet developer had secured approval for its stock to be listed on the NYSE American, a milestone that was set to mark the company’s transition from OTC (over-the-counter) trading.
According to the company CEO JP Richardson, the move was anticipated to broaden the company’s shareholder base, increasing stock liquidity while also creating long-term value for investors. However, the NYSE American informed Exodus that the listing would be delayed pending the completion of the SEC’s review.
This announcement came as a surprise to Exodus, which claims to have been transparent and responsive throughout the process. The decision has also left Exodus and its stakeholders in a state of uncertainty, as the company had expected the stock listing to prepare the ground for its transition to the national securities exchange. Expressing the shock, Richardson said in a statement:
“While we are surprised and confused by this last-minute decision, we remain hopeful that the SEC will follow through on its commitment to treat us as the law intends.”
Implications of the Delay
The delay has implications for the company’s strategy of expanding its presence and increasing liquidity. For now, Exodus’ common stock will continue to trade on the OTCQX market under the symbol “EXOD”.
The SEC’s review process is a standard procedure for companies seeking to list on a national securities exchange. It involves a thorough examination of the company’s registration statement to ensure compliance with regulatory standards. The outcome of the review, however, will determine the future course for Exodus’ listing ambitions.
Richardson says that the company expects a swift resolution to the matter. That is because Exodus has played a thorough role in the process up till now, and should naturally be in good standing with the SEC, he suggested.
The company’s journey to the NYSE American remains on hold for now, but the vision to bridge the gap between traditional finance and the fast-paced world of digital assets remains clear and unwavering.
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