Coinbase Receives “Show Cause” Order From 10 US States

Coinbase News: U.S. biggest cryptocurrency exchange, Coinbase Global Inc (NASDAQ: COIN) seems to be getting into big trouble as 10 state regulators joined Securities and Exchange Commission (SEC) in filing legal actions. Coinbase Stock price is already tumbling by 13% after SEC launched action.
Also Read: We Don’t Need More Digital Currencies, Says SEC Chair
More Trouble For Coinbase?
As per the fillings, the Alabama Securities Commission (ASC) issued a show cause order to Coinbase. The order mentions providing the crypto exchange with 28 days to show cause why they should not be directed to cease and desist from selling unregistered securities in the state.
It added that this action is taken by the task force of ten state securities regulators. This multistate task force includes Alabama, California, Illinois, Kentucky, Maryland, New Jersey, South Carolina, Vermont, Washington, and Wisconsin state regulators.
The state regulator alleges that Coinbase violated the U.S. securities law. It highlighted that the exchange offered its staking reward program to Alabama residents without registering with them. It added that ASC does not prohibit Coinbase from offering staking services as long as they follow Alabama’s laws. Read More Coinbase News Here…
US SEC Attack On Crypto To Continue?
Coingape reported that SEC sued the U.S. biggest crypto exchange for operating illegally as it failed to comply with them. Earlier, the commission sued the world’s biggest crypto exchange Binance and its CEO Changpeng Zhao.
It should be noted that both big civil cases are part of the US SEC Chairmen’s fresh push to contend its jurisdiction over digital asset markets. Meanwhile, the commission of these allegations comes amid Coinbase’s freshly launched campaign to obtain clarity over crypto regulations.
Also Read: It’s An Attack On The Entire Industry, Says Binance CEO
COIN stock price dropped by $7.7 or 13% to trade at $50.93, at the press time. However, its share price dropped by 20% on the prior day.
- Veteran Trader Peter Brandt Says “MSTR Could Go Underwater” If Bitcoin Repeats 1977 Soybean Crash
- BSC Meme Season Ends as PumpFun Surpasses Four Meme Amid $8M Inflows
- ProShares Files for Index Crypto ETF Tracking Bitcoin, Ethereum, XRP, and Solana
- Trump Says Meeting with China May Not Happen, Bitcoin Drops
- The Great Rotation? Bitcoin Rises as Gold Sees Largest Daily Drop Since 2013
- Chainlink Price Eyes $27 Rebound as Whales Accumulate 54M LINK
- Pi Network Price Wedge Signals a Rebound as Key Upgrades Raise Utility Hopes
- Solana Price Eyes $240 Recovery as Gemini Launches SOL-Reward Credit Card
- XRP Price Prediction Amid Evernorth’s $1B XRP Treasury Plan – Can XRP Hit $5?
- Ethereum Price Targets $8K Amid John Bollinger’s ‘W’ Bottom Signal and VanEck Staked ETF Filing
- Pi Coin Price Eyes 50% Upswing As AI-Powered App Studio Update Ignites Optimism