Home » Policy » Coinbase To US SEC; Core Staking Services Are Not Securities

The American Securities Trading Association (SEC) has imposed strict controls on digital currency accounts and password exchanges such as Coinbase. It is filing a lawsuit with Ripple Lab at this stage.About what it calls the illegal sale of unregistered securities. It stressed that the company had been selling such products to investors but did not register them as securities.

In another case, the popular password exchange Kraken received a great deal of attention from the federation.About the sale of unregistered investment and financial products. While everything stays the same, Coinbase, another famous digital trading platform,ArchivedAn evaluation letter to the SEC stipulates that the key bet service is not a securities.

Coinbase tests the statement of the American Securities Trading Federation

Wade Kalanwo, chief legal officer of CoinbaseStateOn March 21, the company sent a letter to the American Securities Trading Federation. The exchange is committed to grasping SEC's views on the regulation of cryptocurrency securities.

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Coinbase stressed that the key betting service is not securities, but the different software technical services it provides. According to Grewal, paying fees to others simply does not guarantee the safety of the money.

He further said that SEC's pile-as-a-service security statement was inconsistent with Kraken's settlement. This means that what Kraken provides cannot be called securities.

Coinbase To US SEC; Core Staking Services Are Not Securities

In addition, the key role models have repeatedly failed to follow the old-fashioned way of Howie testing. This is also the way SEC tries to increase the technology of passwords such as chips. As a result, the exchange requires the SEC to recognize that the core chip service is not securities.

The conclusion of this new dispute between Coinbase and SEC could have an adverse impact on the entire cryptocurrency sector. The field has paid close attention to how such things continue to develop, and whether others will also lead to increased regulation or the adoption of laws and regulations against other cryptocurrency companies.

The previous dispute between Coinbase and SEC

The dispute between SEC accounts and password exchanges has been going on for a long time. In aBlogCoinbase said in response to the SEC Securities ruling that its Lend plan is not an investment agreement or securities.

The average user of the Lend program can earn loan interest from some of the property held on the software. Coinbase further stated that Lend is only a product for qualified customers, not a security, because it is not a cash investment and does not involve a general company.

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SEC has sent Coinbase a job confirmation notice that it is prepared to adopt legal and regulatory actions against the company as a whole by Lend. Regulators claimed that the process resulted in unregistered securities, in violation of the securities law.

Coinbase's response ignored SEC's warning, and it is unclear how regulators will respond to the corporate position.

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