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Now US regulator takes on Coinbase in crypto crunch
by cityam
JAMES SILVER
THE US’s financial watchdog continued its crackdown on the crypto industry yesterday, suing the exchange and broker Coinbase in a Manhattan court.
The Securities and Exchange Commission (SEC) said that the crypto giant was operating as an unlicensed broker in the US, as well as operating a ‘staking tool’ which effectively served as an unregulated security.
The move came just a day after the SEC also brought forward legal action against fellow crypto behemoth Binance.
Coinbase hit back at the SEC, whose boss Gary Gensler described the crypto market as a “Wild West” of investing.
“The SEC’s reliance on an enforcement-only approach in the absence of clear rules for the digital asset industry is hurting America's economic competitiveness and companies like Coinbase that have a demonstrated commitment to compliance,” said Paul Grewal, Coinbase’s general counsel.
The moves against Coinbase and Binance reflect the confused nature of
