U.S. sues cryptocurrency exchanges Coinbase and Binance for securities violations

U.S. sues cryptocurrency exchanges Coinbase and Binance for securities violations

[ad_1]

Stephanie Sy:

Geoff, these are big players in the cryptocurrency world. In its latest lawsuit, the SEC accuses Coinbase of violating federal law by acting as a broker-dealer and clearing agency without being registered as either.

For more on the cryptocurrency crisis, I’m joined by Roben Farzad, host of Public Radio’s “Full Disclosure.”

Rob, it’s good to see you.

In the simplest terms, please explain why the SEC is suing Coinbase and what it alleges.

Roben Farzad, Host, “Full Disclosure”: Coinbase operated as an exchange, something that has, in fact, been heavily regulated for the better part of 90 years.

And if they want to do things, if they want to say, we operate outside of the system, that’s a world they’d like to occupy. That is his worldview. But here you have the chair of the SEC coming in and saying, actually, these should be regulated securities. They must be accompanied by offering statements, disclosures, various strings attached to the SEC.

And clearly, that is anathema to the world of cryptocurrency. You want to exist in this gray area, in this Wild, Wild West, if you will. And I think between what happened yesterday and today’s announcement, I think the SEC is finally putting regulatory contours around this.

[ad_2]

Leave a Comment

Comments

No comments yet. Why don’t you start the discussion?

Leave a Reply

Your email address will not be published. Required fields are marked *