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Leaving USA by Along Tusk

Coinbase plans to leave the United States blames SEC

By XTRM™ | Cryptopia | 20 Apr 2023


Coinbase plans to leave the United States blames SEC... looks like CB have had enough, so say insiders.

New York by Along Tusk

Coinbase, one of the leading cryptocurrency exchanges, has been in the news lately due to its plans to leave the United States. It comes in response to the Securities and Exchange Commission’s (SEC) regulations around the cryptocurrency industry which are causing significant headwinds for exchanges such as Coinbase.

This is a major development for the cryptocurrency industry that underscores the complexity of regulatory hurdles.

Coinbase has been working on setting up a lending product that would allow its customers to earn interest on their cryptocurrency holdings. However, the SEC has raised concerns about this product and the potential for it to be deemed a security. This would make it subject to additional regulations that could significantly increase the cost and complexity of offering the product.

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Coinbase is not alone in facing these regulatory hurdles. In fact, the SEC has been active in clamping down on different cryptocurrencies and exchanges recently. This has caused many companies to reconsider their operations in the United States, in favor of more crypto-friendly jurisdictions. This uncertainty and regulatory burden represent one of the biggest challenges facing the cryptocurrency industry today.

Coinbase's efforts to leave the United States are not a surprise. They have been signaling for a while that they may seek regulation elsewhere. Nevertheless, it highlights the issue for the broader cryptocurrency industry to thrive in a regulatory environment that continues to be uncertain.

Coinbase has become a household name in the cryptocurrency world. Its departure from the United States of America could be the start of a broader trend that sees more crypto companies leave the country in search of a more stable and certain regulatory environment.

While this is an exciting time for the cryptocurrency industry, the push and pull between crypto companies and regulators represent a challenging chapter in the evolution of cryptocurrencies. Amending the regulatory challenges ahead could help maintain the United States as a top destination and keep companies like Coinbase anchored. Or are we just seeing a degree of manipulation and bullying by SEC, that could backfire badly for the commission?

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XTRM™
XTRM™

Cryptocurrency Investigator - XTRM™ PR - Taking a laid back look at Crypto while sneaking up on the Cryptocurrency Bad Guys. All investigatory reviews are my own findings during testing - Dig a little deeper! If Carlsberg made Crypto Blogs!


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