The US regulator alleges that Coinbase operated as an unregistered broker and exchange and that 13 assets listed on its platform were crypto asset securities, causing a 12% drop in stock price.The SEC claims that Coinbase’s prime brokerage, exchange, and staking programs violate securities laws (from 1946!). Below is Coinbase’s response:
https://www.sec.gov/news/press-release/2023-102
The SEC appears busier than ever in the US and is using securities laws from the 40s to allege that Coinbase listed 13 assets in its platform that it is defining were securities. It is harder than ever for exchanges to navigate the regulatory landscape in the US. Again this highlights how important it is for investors to be aware of the risks of holding assets within exchanges.
