• Coinbase has launched its Bermuda-based trading platform, the Coinbase International Exchange.
• The exchange will allow customers to trade in perpetual futures or products tied to the predicted future prices of commodities, such as Bitcoin and Ethereum.
• Coinbase is suing the SEC for lack of clear cryptocurrency regulation.
Coinbase Launches International Exchange in Bermuda
Popular digital currency exchange Coinbase has launched its Bermuda-based trading platform known as the Coinbase International Exchange. This platform allows customers not in America to trade in perpetual futures or products tied to the predicted future prices of commodities such as Bitcoin and Ethereum.
SEC Regulatory Scrutiny
The firm had gotten proper licensing documents due to regulatory scrutiny from the U.S. Securities and Exchange Commission (SEC). The SEC had sent the exchange a Wells notice, meaning that while it hasn’t been formally charged with a crime yet, it was likely coming soon and executives should prepare themselves for a legal fight.
Coinbase’s Position on Crypto Regulation
Coinbase believes that the entire cryptocurrency industry is suffering from lack of clear crypto regulation, and is suing the SEC as a means of garnering a quick response to a survey it submitted last July. If successful, this could result in an answer about whether crypto should be governed by existing securities laws or not.
SEC’s Alleged Bullying of Crypto Companies
The SEC has pursued several lawsuits against leading digital currency exchanges recently; one example being Kraken who was forced to part with $30 million in fees just recently after facing legal action from the regulatory body.
Ultimately, it remains unclear what charges Coinbase may face from the SEC and if they will be successful in their lawsuit against them for clarity over crypto regulation laws.