Coinbase CEO claims SEC said ‘every asset other than Bitcoin is a security’

The US Securities and Exchange Commission (SEC) reportedly asked Coinbase to halt trading successful each cryptocurrencies too Bitcoin.

In an interrogation with the Financial Times, Brian Armstrong, Coinbase CEO, revealed the US Securities and Exchange Commission (SEC) asked Coinbase to halt trading successful each cryptocurrencies but Bitcoin earlier launching its legal attack against the exchange.

Last month, the SEC initiated legal action against Coinbase for failing to registry arsenic a broker. The regulator identified 13 cryptocurrencies connected Coinbase’s level arsenic securities, arguing that by offering specified tokens, Coinbase has travel wrong the SEC’s regulatory ambit.

The SEC’s determination to person Coinbase delist much than 200 tokens it offers, prevention for Bitcoin, whitethorn suggest a broader regulatory ambition nether SEC Chair Gary Gensler. Armstrong told the FT,

“[The SEC] came backmost to us, and they said… we judge each plus different than Bitcoin is simply a security… And they said, we’re not going to explicate it to you, you request to delist each plus different than Bitcoin.”

This assertion by the SEC, if agreed upon by Coinbase, could person seen a bulk of American crypto businesses operating extracurricular ineligible parameters unless they registered with the commission.

In effect to the SEC’s request, Armstrong stated:

“We truly didn’t person a prime astatine that point, delisting each plus different than Bitcoin, which by the mode is not what the instrumentality says, would person fundamentally meant the extremity of the crypto manufacture successful the US.”

Gensler has antecedently proposed that astir cryptocurrencies, with Bitcoin being the exception, are securities. Yet, Ethereum, the second-largest cryptocurrency pivotal to galore manufacture projects, was conspicuously absent from the SEC’s lawsuit against Coinbase. It besides did not look successful the SEC’s database of 12 “crypto plus securities” successful the suit against Binance.

According to the FT, portion the SEC denied making ceremonial requests for companies to delist crypto assets, the bureau did admit that its unit mightiness stock views connected what behaviour could rise questions nether securities laws during an investigation.

The station Coinbase CEO claims SEC said ‘every plus different than Bitcoin is simply a security’ appeared archetypal connected CryptoSlate.