SEC investigates Coinbase over crypto yield and staking products. The exchange is under pressure on several fronts and believes that certain tokens that are not securities should not be under the jurisdiction of the SEC.
Coinbase crypto exchange is under pressure
Coinbase is under investigation. Indeed, US securities regulators suspect him of acting illegally in his token listing process. In addition, the investigation also relates to the company’s staking programs and yield-generating products. Coinbase revealed all this in its latest quarterly report.
He stated : “The Company has received subpoenas and investigation requests from the United States SEC relating to documents and information about certain customer programs, existing and future operations and products, including the Company’s processes for asset listing, classification of certain listed assets, its staking programs, and its stablecoins and yield-generating products.“.
In this context, we note that Coinbase faces heavy pressure as an American crypto business. In reality, the fact that the exchange must disclose all this information is a blow for him who considers himself to be in good standing. Additionally, Coinbase has hinted that certain tokens should be exempt from SEC jurisdiction. According to the exchange, these tokens would not be securities.
A few weeks ago, an ex-Coinbase employee was charged with insider trading. Now it is the cryptocurrency exchange that is accused of acting illegally. The SEC has therefore launched an investigation to verify the performance of cryptocurrencies and Coinbase’s staking products. For Coinbase, this case should have no “material adverse effect” on its financial situation.
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