Coinbase Case Dismissed by SEC, Pending Approval
Coinbase asserts that the Securities and Exchange Commission (SEC) has dismissed its case against the cryptocurrency platform, subject to commission approval. Shares surged 3% at market open on Friday.
The SEC has not confirmed the decision, but it aligns with the Trump administration's lenient stance on cryptocurrency markets. The crypto industry has invested heavily in political support and seeks to solidify its influence.
In June 2023, Coinbase faced a lawsuit from U.S. regulators, alleging it operated as an unregistered securities platform and brokerage service. The SEC claimed Coinbase facilitated billions in crypto transactions without providing investors adequate protection.
Coinbase recently announced on social media that the case had been dismissed pending commission approval. The post expressed gratitude for support from the crypto community and emphasized the importance of continued industry development.
The crypto industry has achieved early successes under Trump, including the repeal of an SEC accounting rule and the formation of a working group to study crypto regulations. The SEC has also requested a pause in litigation against Binance, suggesting a shift in enforcement priorities.