Crypto exchange Coinbase faces SEC probe over securities – Bloomberg News
The US听厂别肠urities and Exchange Commission (SEC) is investigating whether听颁辞颈苍产补蝉别听Global Inc聽improperly let Americans trade digital assets that should have been registered as听蝉别肠urities, Bloomberg News reported on Monday.
In an emailed response, a听颁辞颈苍产补蝉别听spokesperson told Reuters that the company does not list听蝉别肠urities on its platform, while its legal head Paul Grewal said they looked forward in engaging with the听厂贰颁听on the matter.
“We are confident that our rigorous diligence process 鈥 a process the听厂贰颁听has already reviewed 鈥 keeps听蝉别肠urities off our platform,” Mr. Grewal added.
The听厂贰颁‘s scrutiny has increased ever since the crypto trading platform expanded the number of tokens in which it offers trading, Bloomberg report added, citing two sources. ()
The U.S.听蝉别肠urities regulator did not respond to Reuters’ request for a comment on the report.
The听辫谤辞产别听by the听厂贰颁‘s enforcement unit predates its investigation into an alleged insider trading scheme that was revealed last week.
In the first insider trading case involving听肠谤测辫迟辞肠耻谤谤别苍肠测, US prosecutors had charged Ishan Wahi, a former product manager at听颁辞颈苍产补蝉别, for sharing confidential information about forthcoming announcements of new听肠谤测辫迟辞肠耻谤谤别苍肠测聽assets that听颁辞颈苍产补蝉别听would allow users to trade through its exchange.
In related civil charges, the听厂贰颁听alleged that Mr. Wahi’s brother Nikhil Wahi and their friend Sameer Ramani purchased and sold at least 25 crypto assets for a profit, nine of which the agency identified as听蝉别肠urities.
The听厂贰颁听declined to confirm at the time whether it would pursue action against听颁辞颈苍产补蝉别听for listing the tokens deemed听蝉别肠urities in the complaint.
The听肠谤测辫迟辞肠耻谤谤别苍肠测聽platform has previously asked the听厂贰颁听to develop rules that work for digital asset听蝉别肠urities. – Reuters
