Bitcoin
$ 43,541
Ethereum
$ 3,055.9
Litecoin
$ 160.30
okex ads

US regulators threaten to sue Coinbase over crypto lending program

The US Securities and Exchange Commission (SEC) has warned Coinbase it will sue the crypto exchange if it goes ahead with plans to launch a program allowing users to earn interest on their crypto holdings.

According to Paul Grewal, Coinbase’s chief legal officer, the company received a Wells notice from the commission. “The SEC has told us it wants to sue us over Lend. We have no idea why,” Grewal said in a blog post, adding that the SEC has told Coinbase it considers Lend “to involve a security, but wouldn’t say why or how they’d reached that conclusion.”

Grewal also said that the SEC’s concerns about Coinbase’s ‘Lend’ were related to the fact that the regulator believed the product involved a security. “They’ve offered us the chance to submit a written defense of Lend, but that would be futile when we don’t know the reasons behind the SEC’s concerns.”

Coinbase plans to delay the launch of the Lend product at least until October as a result, Grewal said.

Programs that allow crypto holders to lend their cryptocurrencies in return for interest have been rapidly growing around the world lately. However, regulators, particularly in the United States, have started to raise concerns over such products, claiming they should comply with existing securities laws.

In July the US state of New Jersey ordered the cryptocurrency platform BlockFi to stop offering interest-bearing accounts that have raised over $14 billion from investors.

 

Related Posts

Leave a Reply

Newsletter

Subscribe To Newsletter

For updates and exclusive offers, enter your e-mail below.

Popular Posts

xtingles to Launch World’s First ASMR NFT “Free Like a Butterfly” on September 16
September 22, 2021By
State Bank of India Blocks Payments to Cryptocurrency Exchanges on UPI Platform
September 22, 2021By
EST GLOBAL OF DR SINDHU ALONG SIDE ANDA GLOBAL, AND AFCFTA POLICY NETWORK PARTNERS ON AGRIBUSINESS IN AFRICA.
September 22, 2021By

Advertisement

Video Posts

In
Impact Of Technology On 4.0
July 6, 20210
In
Importance Of Cryptography
July 3, 20210

Crypto Stats


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin43,541 0.50 % 6.88 % 7.63 %
Ethereum3,055.9 0.50 % 11.09 % 10.78 %
Cardano2.230 0.15 % 12.32 % 7.00 %
Tether1.000 0.05 % 0.00 % 0.26 %
Binance Coin376.69 0.11 % 8.71 % 9.08 %
XRP0.9950 0.04 % 14.27 % 9.24 %
Solana148.19 1.58 % 19.39 % 5.84 %
Polkadot31.25 0.77 % 18.85 % 16.74 %
USD Coin0.9994 0.04 % 0.06 % 0.25 %
Dogecoin0.2242 0.02 % 11.52 % 7.01 %

You have not selected any currencies to display