US SEC will investigate against yield and staking products of Coinbase
Coinbase exchange revealed that the US Securities regulatory body initiated an investigation against its staking and yield product.
Coinbase is a top leading crypto exchange in the United States, which is listed on the Nasdaq exchange. Exchange is known to provide crypto services under full compliance. At present, exchanges hold the second highest number of Bitcoin trade amounts in the crypto industry, just after the Binance exchange.
The recent quarterly filing of the Coinbase exchange revealed that The United States Securities and Exchange Commission (SEC) is investigating yield and staking products of the digital asset platform Coinbase.
Coinbase reported:
” We received investigative subpoenas and requests from the SEC for documents and information about certain customer programs, operations, and existing and intended future products, including the Company’s processes for listing assets, the classification of certain listed assets, its staking programs, and its stablecoin and yield-generating products.”
Staking & Yield products are better secondary ways for crypto Investors to generate revenue and in the past few years, it has been the best way for the crypto exchanges to increase user attention on the platform.
This action by the SEC agency against Coinbase is showing that the regulatory body is taking every step precisely against all the light activities of this exchange.
Earlier this, reportedly the SEC agency was investigating the listed crypto assets on the Coinbase exchange. According to the SEC agency, there are many crypto assets on the exchange, which are under the securities asset class.
Another lawsuit is also going on against Coinbase’s former product manager Ishan Wahi, for allegedly doing insider trading. All these things are ruining the reputation of this exchange and these are overall impacting the stock price of Coinbase (COIN).
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