Coinbase CEO: SEC Asked To Stop Trading In Everything Except Bitcoin
Coinbase chief executive Brian Armstrong told the Financial Times that the SEC made the recommendation before launching legal action against the Nasdaq-listed company last month for failing to register as a broker.
- “They came back to us, and they said . . . we believe every asset other than bitcoin is a security. And, we said, well how are you coming to that conclusion, because that’s not our interpretation of the law. And they said, we’re not going to explain it to you, you need to delist every asset other than bitcoin,” Armstrong said.
“We really didn’t have a choice at that point, delisting every asset other than bitcoin, which by the way is not what the law says, would have essentially meant the end of the crypto industry in the US. It kind of made it an easy choice . . . let’s go to court and find out what the court says,” he added.
- "Gensler has previously said he believes most cryptocurrencies with the exception of bitcoin are securities. The recommendation to Coinbase signals that the SEC has adopted this interpretation in its attempts to regulate the industry."
- Oversight of the 'crypto industry' in the United States has been a grey area so far, with both the SEC and the Commodity Futures Trading Commission (CTFC) jockeying for more control.
