The SEC said Coinbase has since at least 2019 made billions of dollars by operating as a middleman on crypto transactions, while evading disclosure requirements meant to protect investors.
of operating illegally because it failed to first register with the regulator.case against BinanceBoth civil cases are part of SEC Chair Gary Gensler’s push to assert jurisdiction over crypto markets, which he on Tuesday again labeled a “Wild West” of investing, and protect investors while shoring up their trust in capital markets.
Founded in 2012, Coinbase recently served more than 108 million customers. Above, Coinbase CEO Brian ArmstrongPaul Grewal, Coinbase’s general counsel, in a statement said the company will continue operating as usual and has a “demonstrated commitment to compliance.” Coinbase customers pulled more than $57 million from the exchange within a couple of hours of the filing, according to data firm Nansen.
Tuesday’s complaint addressed several aspects of Coinbase’s business including Coinbase Prime, which routes orders; Coinbase Wallet, which lets investors access liquidity; and the Coinbase Earn staking service. The SEC had warned Coinbase in March that charges might be coming. It said the company was “fully aware” that its business was subject to federal securities laws, but ignored it.“You simply can’t ignore the rules because you don’t like them or because you’d prefer different ones,” SEC Enforcement Chief Gurbir Grewal said in a statement.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Coinbase Shares Drop 10% Following SEC’s Suit Against BinanceShares of Coinbase ($COIN) fell 10% after news broke that the SEC was suing Binance for violating federal securities laws. HeleneBraunn reports
Read more »
Coinbase shares plummet as SEC sues rival crypto exchange BinanceCoinbase's shares lost as much as 12% after news broke that the SEC was suing rival exchange Binance.
Read more »
Binance SEC Lawsuit Could be Preview of What Coinbase May Face, Berenberg SaysAt least 37% of Coinbase's net revenue could be at risk if that exchange is subject to charges from the SEC, said one analyst. $COIN Aoyon_A reports
Read more »
Crypto and blockchain could keep AI from running amok: CoinbaseCrypto and blockchain technology can be crucial tools that help keep AI from running wild, Coinbase says
Read more »
Coinbase, Robinhood, CFTC to testify in Congress over draft crypto billKey execs from crypto firms Coinbase and Robinhood, along with the U.S. commodities regulator are set to testify before Congress to discuss a newly proposed crypto bill.
Read more »
Coinbase stock falls 10% after SEC sues Binance for unregistered securitiesCoinbase falls 10% after the SEC sues rival crypto exchange Binance for violating securities law
Read more »