Coinbase Justifies Alleged ‘Securities’ Listings• July 29, 2022 1:19 pm • Comments
The broad consensus among crypto investors and traders is that Coinbase lists garbage tokens and coins.
Such sentiments have boiled up to the surface, and come to the forefront, amid the current market downturn with whispers of insolvency plaguing the company.
These fears are by no means unfounded and have caused droves of investors and clients to withdraw their funds and assets from the platform.
S.E.C. officials claim that the popular crypto exchange has been listing unregistered securities—citing 9 specific tokens and cryptocurrencies.
Representatives for Coinbase defended the monster listing of 150+ tokens by claiming that the S.E.C. and other government bodies do not provide clear and predictable guidelines and definitions on how to handle digital assets.
Despite the company’s bid to become the largest centralized exchange in the U.S., its stock continues to see negative price action.
Here’s more on the story:
Coinbase listings team must be compromised by feds in some way. It's hard to imagine that the complete dogshit that they list on their exchange is anything other than an erosive attack to reduce quality and trust in industry.
Universal pet income? The market cap is $34m. Jokers. https://t.co/5IWFHKmcoK
— Cobie (@cobie) February 7, 2022
One Coinbase spokesperson states via Blockworks:
“The rules governing securities markets were developed decades before the advent of crypto. When these authors were writing rules to regulate square pegs, they did not account for how those rules would impact the unpredictable round holes of the future,” they said.
BREAKING: @coinbase has disclosed since May SEC enforcement interest in its activities and now legal experts say the case involving allegedly selling unregistered securities as tokens could be lethal to $COIN business.
— Charles Gasparino (@CGasparino) July 26, 2022
Coinbase set to end the day -20%
— TheDrunkTraders (@thedrunktraders) July 27, 2022
Bitcoin.Com had more on the investigation:
In this probe, the SEC alleged that nine of the cryptocurrency assets listed on Coinbase’s platforms are securities, these being AMP, RLY, DDX, XYO, RGT, LCX, POWR, DFX, and KROM. However, Coinbase’s chief legal officer, Paul Grewal, has officially denied these allegations, claiming that the exchange does not list securities.
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