• Coinbase has filed a lawsuit against the United States Securities and Exchange Commission (SEC) over its petition for a digital asset-specific rule.
• Cathie Wood’s Ark Invest has purchased $8.6 million worth of Coinbase stock.
• The SEC is also looking into Coinbase’s activities for potentially violating U.S. securities laws.
Coinbase Sues US SEC
Crypto exchange Coinbase has filed a lawsuit against the United States Securities and Exchange Commission (SEC). Coinbase wants the agency to provide a yes or no to Coinbase’s request for the commission to draft and approve a digital asset-specific rule. The crypto exchange can also file another lawsuit to try to make a federal court force the SEC to make a new rule if the regulatory agency declines. Last month, the SEC served Coinbase with a Wells Notice, indicating that it is looking into Coinbase’s activities for potentially violating U.S. securities laws.
Ark Invest Buys $8.6m in Coinbase Stock
Cathie Wood’s Ark Invest has purchased $8.6 million worth of Coinbase stock as part of its buying spree of Coinbases stock, which includes 122,083 shares in the ARK Innovation ETF, 14,633 shares in ARK Fintech Innovation ETF and 20,327 shares in ARK Next Generation Internet ETF . Wood’s firm remains one of the biggest Coinbase shareholders currently on record with an estimated 0.4% stake in the company valued at around $41 million as of April 2021 according to Bloomberg data .
Coinbase Could Relocate
Coinbase’s CEO revealed last week that the crypto exchange could relocate to another country if the regulatory unclarity in the United States persists . This move would be seen as an effort by Crypto exchanges looking for more clarity from governments regarding their operations , which most countries have yet to provide .
Potential Long Legal Battle
The legal battle between Coinbase and the SEC may take some time before it is resolved , especially since both sides are taking steps towards their respective positions . While this may seem uncertain , it could result in more clarity when it comes down to regulations surrounding cryptocurrencies and other digital assets .
Conclusion
Overall , this article provides insight into how cryptocurrency businesses are trying to find ways around legal uncertainty while regulators are pushing back against them . It looks like this will continue until either side finds an agreement or until legislation is established that clearly states what is allowed under U . S law .