- The Security and Exchange Commission is launching an investigation into Coinbase.
- According to this, the US Securities and Exchange Commission is examining which of the more than 150 digital assets could be classified as securities.
- In doing so, the SEC is taking a dangerous course, because the results will affect the entire US market.
In the USA, the SEC is taking the regulatory all-round hit. Already in the proceedings against a former employee of Coinbase and two of his accomplices for insider trading, the SEC intervened. Here she specifically spoke of 9 different assets that have been included in the program by Coinbase and are now to be used to initiate a separate case against the accused.
Coinbase has already publicly defended itself with a counter-statement. But according to a report by Bloomberg, the securities and Exchange Commission is now expanding its investigation to all other assets that can be traded on Coinbase. A little over 150 different coins and tokens come under the microscope and this could have far-reaching consequences.
If the SEC ultimately concludes that the affected assets should be classified as securities, this will not only have immediate consequences for Coinbase. The entire US market is being turned upside down and exchanges based abroad could also be affected. This would be the case if they had given US citizens access to the alleged securities.
Attention, this is the World Police
It is precisely this facet that once again illustrates how disruptive the US regulatory system is having an impact on the market. In the end, this does not protect investors, but only torpedoes the few legitimate companies.
The SEC has often had the opportunity to intervene when questionable investment products in the form of DeFi protocols or tokens came onto the market. Instead, she put her hands in her lap almost every time. However, they are trying to take action against Ripple and now also against Coinbase, although there is the slightest problem in their activities.
The exact opposite is the case. Coinbase has repeatedly sought to cooperate with the SEC and has always made a point of always complying with legal requirements. For example, XRP was removed from the program when it was clear that the SEC was filing a lawsuit against Ripple. Also in this case, it is a question of determining whether XRP is an unauthorized security or not. In the end, the SEC is waging a battle against the entire market, and not just Coinbase or Ripple.