Wednesday

April

<div class="textg" style="text-align: justify; font-weight: lighter; line-height: 1.3em; font-size: 15px; border-radius: 3px; color: #80909a; padding: 10px; background-color: #F4F6F9; margin-bottom: 15px;">Neither the author, Tim Fries, nor this website, The Tokenist, provide financial advice. Please consult our&nbsp;<a href="https://tokenist.com/terms-of-service/" style="text-decoration:underline;color:#3c7b7b" target="_blank" rel="noreferrer noopener" class="deco-link">website policy</a>&nbsp;prior to making financial decisions.</div>



<p class="has-drop-cap">After plummeting over 10% in Wednesday&#8217;s after-hours trading, shares of Coinbase dropped an additional 11% in the market pre-open on Thursday, trading at $64.95 at the time of writing. The drop comes amid concerns over a possible legal enforcement action against Coinbase by the US Securities and Exchange Commission (SEC), which <a href="https://tokenist.com/sec-alleges-coinbase-violated-security-laws-delivers-wells-notice/" rel="dofollow" class="deco-link">delivered a Wells notice</a> to the crypto exchange yesterday.</p>



<h3 id="coinbase-facing-possible-legal-action-related-to-its-earn-prime-and-wallet-products">Coinbase Facing Possible Legal Action Related to its Earn, Prime, and Wallet Products</h3>



<p>Coinbase continued to dip in premarket trading Thursday as investors grew anxious over a potential legal action against the crypto exchange by the SEC. Coinbase’s stock is down more than 10% ahead of the Thursday market opening.</p>



<p>The securities regulator delivered a Wells notice to Coinbase yesterday, suggesting it plans to bring enforcement against the company. However, the notice does not always lead to charges, nor it means that the recipient has breached any laws.</p>



<p>According to the notice, the possible legal action would be related to Coinbase’s spot market, including its Earn, Prime, and Wallet products. These products continued to operate normally following the notice, the world’s second-biggest crypto exchange said in the <a aria-label="blog post (opens in a new tab)" href="https://www.coinbase.com/blog/we-asked-the-sec-for-reasonable-crypto-rules-for-americans-we-got-legal" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">blog post</a>.</p>


<div class="cta-referral">

			<img src="https://tokenist.com/wp-content/themes/thetokenist/assets/img/del/cta-referral-1.png" alt="" class="cta-referral__img" loading="lazy" decoding="async">
	
	<div class="cta-referral__text">
		<p>Join our <a href="https://t.me/thetokenist" target="_blank" rel="noreferrer noopener nofollow">Telegram group</a> and never miss a breaking digital asset story.</p>

	</div>

</div>


<h3 id="coinbase-ceo-compares-the-sec-to-soccer-refs-in-a-game-of-pickleball">Coinbase CEO Compares the SEC to “Soccer Refs” in a Game of Pickleball</h3>



<p>In response to the Wells notice, Coinbase CEO Brian Armstrong <a aria-label="posted a Twitter thread (opens in a new tab)" href="https://twitter.com/brian_armstrong/status/1638654192138199041?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1638654192138199041%7Ctwgr%5E98ab53109135c3d3d4c55f719d30d313a1b2594e%7Ctwcon%5Es1_&amp;ref_url=https%3A%2F%2Fcointelegraph.com%2Fnews%2Fcoinbase-ceo-on-its-wells-notice-sec-is-like-soccer-referees-in-a-game-of-pickleball" target="_blank" rel="noreferrer noopener nofollow" class="deco-link">posted a Twitter thread</a>, highlighting Coinbase’s strict review process regarding which assets get approved on the platform. He also sees the upcoming legal process as an opportunity for Coinbase to prove “that the SEC simply has not been fair, reasonable, or even demonstrated a seriousness of purpose when it comes to its engagement on digital assets.”</p>



<p>A Twitter user asked Armstrong to explain the situation in NFL terms. Armstrong replied to the question, comparing the SEC to “soccer refs” in a game of pickleball. He said the refs “can&#8217;t really agree on the rules of this new game, and one of them decides to change a call they made back in April 2021.”</p>



<p>Earlier this year, the SEC forced the crypto exchange Kraken to shut down its staking service and <a href="https://tokenist.com/breaking-kraken-cracks-under-sec-pressure-agrees-to-pay-30m/" rel="dofollow" class="deco-link">pay a $30 million penalty</a> for allegedly violating US securities laws. According to the government agency, Kraken breached the rules by offering an unregistered crypto-staking program.</p>



<p>The SEC made similar allegations regarding Coinbase’s staking services in the past, but Armstrong has repeatedly asserted these services are not securities. Coinbase was also one of the companies that <a href="https://tokenist.com/coinbase-files-amicus-brief-in-ripples-case-highlights-secs-overreach/" rel="dofollow" class="deco-link">submitted an amicus brief</a> last year to support blockchain company Ripple in its long-standing legal battle against the SEC.</p>



<p><em>Editorial Update (23rd March 2023, 9:17 AM): Article updated to reflect the correct dates for the stock&#8217;s price movements.</em></p>


<div class="cta-sub js__cta-sub">

	<div class="cta-sub__start" data-step="1">

					<div class="cta-sub__title"><strong>Finance is changing.</strong></div>
							<div class="cta-sub__subtitle">Learn how, with Five Minute Finance.</div>
							<div class="cta-sub__excerpt">A weekly newsletter that covers the big trends in FinTech and Decentralized Finance.</div>
							<button type="button" class="btn">Try it out (for free)</button>
			</div>

	<div class="cta-sub__form" data-step="2" style="display: none;">
									<script type="text/javascript"
						src="https://app.getresponse.com/view_webform_v2.js?u=QcLhh&#038;webforms_id=zw3Wv"></script>
						</div>

	<div class="cta-sub__result" data-step="3" style="display: none;">
		<div class="cta-sub__title">Awesome</div>
		<div class="cta-sub__caption">You&#8217;ve subscribed.</div>
		<div class="cta-sub__greeting">You&#8217;re well on your way to being in the know.</div>
	</div>

</div>



<p><em><strong>Do you agree with Coinbase’s views that the SEC has not been fair and reasonable? Let us know in the comments below.</strong></em></p>
<p>The post <a rel="nofollow" href="https://tokenist.com/coinbase-shares-fall-11-in-premarket-as-sec-action-looms/">Coinbase Shares Fall 11% in Premarket as SEC Action Looms</a> appeared first on <a rel="nofollow" href="https://tokenist.com">Tokenist</a>.</p>

Coinbase Shares Fall 11% in Premarket as SEC Action Looms

Indice dei contenuti

Tokenist

Altri articoli pubblicati su 23 mar 2023

Virtual Worlds Soar: Record Land Sales Generate $311M

How Cardano [ADA] Shrugged Off Losses, Extended Growth Hike Across Board

Upland’s 2023 Hackathon To Showcase The Future Of Web3 Metaverse Super Apps

NFT Collection Riot Racers Cars Price, Stats, and Review

How to profit from crypto without buying crypto directly?

How big is the South Korean crypto market scope? Grasping the current status of the local crypto ...

Iscriviti alla nostra newsletter gratuita per aggiornamenti giornalieri sulle criptovalute!