Coinbase Receives Wel Notifications From Seconds
  • The US SEC issued a Wells Notice to Coinbase on Wednesday.
  • Coinbase Chief Legal Officer Paul Grewal said:
  • Coinbase’s stock has fallen more than 10% in extended trading.

Coinbase Global Inc (NASDAQ: COIN) has been trading down more than 10% for an extended period of time after receiving a “Wells Notice” from the SEC for possible violations of U.S. securities laws.

Here’s what we know so far

Remember, such notices often indicate that authorities are willing to formally prosecute.

Still, Coinbase says Wells’ notice did not provide enough information about the potential breach, so it will stick to normal operations for the time being.

The company believes these potential enforcement actions relate to the Coinbase Earn, Coinbase Prime, and Coinbase Wallet aspects of our spot market and staking services.

Last month, the Securities and Exchange Commission issued a similar notice Paxos (Blockchain Infrastructure Platform) as well.

Statement by Chief Legal Officer Grewal

This news arrives from Coinbase about a month later report Fourth Quarter Financial Results Beating Street Estimates.

On Wednesday, the company’s chief legal officer, Paul Grewal, reiterated that the company does not list securities. In an interview with CNBC, he also said:

Where appropriate, we welcome the legal process to provide the clarity we have been advocating and to prove that the SEC simply isn’t fair with regards to our involvement with digital assets.

Grew also argues that: Earn coinbase It is very different from the staking service by Kraken that the SEC banned last month. At the time of writing, Coinbase stock is up 100% this year as well.

By Jules

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