US SEC Halts Coinbase Trading and Files Lawsuit
The US Securities and Exchange Commission (SEC) has asked Coinbase to halt the trading of all cryptocurrencies except for Bitcoin, claiming that they are securities. Coinbase CEO Brian Armstrong believes this move would spell the end of the crypto industry.
- SEC demands Coinbase delist all assets except Bitcoin
- Coinbase CEO claims SEC’s interpretation of the law is different
- SEC identifies 13 assets, including Solana and Cardano, as securities
- Coinbase files motion to dismiss the lawsuit
- SEC also sues Binance and its CEO, Changpeng Zhao
Coinbase has been hit with a lawsuit from the SEC, accusing the exchange of breaching federal securities law. The SEC claims that Coinbase failed to register as a broker or securities exchange and did not comply with disclosure regulations. Coinbase has filed a motion to dismiss the lawsuit, arguing that the SEC did not engage in dialogue despite previous attempts by the exchange.
In addition to the lawsuit against Coinbase, the SEC has also sued Binance and its CEO, Changpeng Zhao, for various violations. Binance has hired M. Kendall Day, a former prosecutor at the US Department of Justice, to represent the company in the legal battle against the SEC.
Hot Take
The SEC’s actions against Coinbase and Binance signal a growing crackdown on the crypto industry. With the SEC claiming that many cryptocurrencies are securities, the regulatory landscape for exchanges and investors could become more complex. This legal battle could have significant implications for the future of the crypto industry and how it operates within existing securities laws.