Coinbase Is Preparing For Legal Battle With U.S. SEC 15

Coinbase Is Preparing For Legal Battle With U.S. SEC

  • Coinbase is reportedly preparing to go to court with the U.S. Securities and Exchange Commission. 
  • CEO Brian Armstrong has revealed that his exchange is anticipating a years-long court battle ahead. 
  • The SEC had issued a Wells notice to the exchange last month informing it of potential enforcement actions. 
  • The American crypto exchange has not ruled out the possibility of relocating outside the United States. 

The largest crypto exchange in the United States is reportedly gearing up for a legal battle with the country’s top financial regulator. Tensions between Coinbase and the U.S. Securities and Exchange Commission reached new highs earlier today after the exchange’s CEO Brian Armstrong revealed that this company was preparing for a years-long court battle with the securities regulator. 

Coinbase may relocate to another country

In an interview with CNBC, Brian Armstrong stated that his crypto exchange may have to pick the litigation route and see the SEC in court in order to establish clarity and create the case law. The Coinbase CEO accused the regulator of failing to fulfill its duty to publish a rulebook for the crypto industry to abide by. His comments came three weeks after his firm received a Wells notice from the SEC, which informed the exchange of potential enforcement action that may be initiated against it. 

We never seek litigation but it seems, in this case, they have initiated it and if we need to go to the courts to get the clarity that we need then we are very prepared to do that”

Brian Armstrong, CEO of Coinbase 

While speaking at a fintech event in London earlier today, Brian Armstrong indicated that Coinbase may leave the United States and set up shop abroad if the regulatory landscape doesn’t improve. George Osborne, the UK’s former Chancellor of the Exchequer, asked the chief executive if he would consider moving the exchange’s headquarters to Britain. Brian Armstrong responded, “Anything is on the table. Including, you know, relocating or whatever is necessary.”