Coinbase: Enforcement Action Against Cryptocurrency Exchange Wil
Coinbase responded fiercely to the U.S. Securities and Exchange Commission’s (SEC) Wells notice last month: Enforcement actions against cryptocurrency exchanges would pose “significant procedural risk” to the SEC and would “fail.”
Coinbase Chief Legal Officer Paul Grewal said the SEC's analysis of the staff proved that the enforcement action "appears to be based on superficial and incorrect analogies" to products and services offered by others. Grewal believes that when Coinbase went public, it discussed with the SEC about every aspect of the business, and nothing has changed so far.
The SEC told Coinbase in a March notice that its spot trading, staking, custody and institutional trading businesses were at risk. The SEC accused Coinbase of issuing and selling unregistered securities in violation of federal law. If the SEC is successful, it could force Coinbase to shut down these units.
As previously reported, Coinbase had asked the SEC to give clearer “regulatory guidance.” (CNBC)
Coinbase Chief Legal Officer Paul Grewal said the SEC's analysis of the staff proved that the enforcement action "appears to be based on superficial and incorrect analogies" to products and services offered by others. Grewal believes that when Coinbase went public, it discussed with the SEC about every aspect of the business, and nothing has changed so far.
The SEC told Coinbase in a March notice that its spot trading, staking, custody and institutional trading businesses were at risk. The SEC accused Coinbase of issuing and selling unregistered securities in violation of federal law. If the SEC is successful, it could force Coinbase to shut down these units.
As previously reported, Coinbase had asked the SEC to give clearer “regulatory guidance.” (CNBC)