Charles Hoskinsonthe co-founder of Cardano ADA/USDon Monday shared his thoughts on why US regulators have cracked down on cryptocurrencies.

What happened: According to Hoskinson, after the collapse of Sam Bankman Fried‘s FTX crypto exchange in November.

“The FTX Collapse. The moment it happened, I knew the entire industry was going through a seriously tough time,” he said tweeted.

See more: Top Indian Apps Giving Bitcoin, NFT Rewards

Why It Matters: Krakenone of the leading cryptocurrency exchanges in the United States, agreed to the closure its staking service on February 8 and pays $30 million in penalties to settle fees with the Securities and Exchange Commission (SEC).

In a series of tweets later that day, coin base COIN CEO Brian Armstrong warned of a possible staking ban for US retail customers, stating that it would be “a terrible path for the US to take.”

The next raid followed Paxos Trust instructed to stop embossing A binance-Branded token BUSD, which is considered the third largest stablecoin with a market value of $16 billion.

price action: At the time of writing ADA was trading at $0.40, up 1.68% in the last 24 hours, according to Benzinga Pro.

continue reading: Bitcoin nears $25,000, Ethereum, Dogecoin tops: Analyst sees Apex Crypto hit $40,000 before ‘hard correction’ this year