Coinbase is facing a lawsuit from the SEC for allegedly violating securities laws.
Coinbase has challenged the SEC's lawsuit
Coinbase is facing a lawsuit from the SEC for allegedly violating securities laws. The SEC claims that Coinbase has operated as an unregistered broker, exchange and clearing agency, and has offered several tokens that are considered securities without proper disclosure. The lawsuit was filed in New York federal court on Tuesday.
The SEC has been cracking down on crypto companies since FTX collapsed in November 2022, raising concerns about investor protection and market integrity.
Coinbase has challenged the SEC's lawsuit, saying that it has complied with all applicable regulations and has sought clarity from the SEC on crypto rules for years. Coinbase's chief legal officer Paul Grewal said that the SEC's enforcement-only approach is hurting the U.S. economy and innovation. He also said that Coinbase will continue to operate its business as usual and will fight the SEC's case in court if necessary.
