Coinbase has filed a lawsuit against the U.S. Securities and Exchange Commission (SEC) over the agency's plans to regulate the cryptocurrency industry.
The SEC has threatened to sue Coinbase over its planned launch of a lending product that would allow users to earn interest on their crypto holdings, stating that it would be an unregistered security.
Coinbase argues that the SEC has failed to provide clear guidelines on what constitutes a security, leaving the industry in regulatory uncertainty.
This lawsuit highlights the ongoing tension between crypto companies and regulators as they struggle to define and regulate the rapidly evolving industry.
In a separate case, the SEC has also filed a lawsuit against Coinbase over allegations of misleading investors about its trading volumes and failing to register as a securities exchange.
Coinbase has denied these allegations and vowed to defend itself against the SEC's claims.
The outcome of these lawsuits could have far-reaching implications for the regulation of the crypto industry in the United States.