Coinbase CLO Says Company Already In Line With SEC Regulations
Table of contents
Company An Example for Crypto Platforms
Coinbase CLO Paul Grewal stated in an interview with Bloomberg that the company is not only already in compliance with the proposed changes to qualified custodian law but also serves as an example for other cryptocurrency platforms.
Bloomberg reported that the new legal initiative would require cryptocurrency platforms to guarantee that money-manager client assets are separated from funds required for platform operation, safeguarding funds in the event of platform failure. Coinbase's CLO has reiterated its earlier assertion that the company operates in a different manner than rival platforms.
Coinbase Might Feel the SEC Heat in the Coming Days
Despite its more conventional business practices, the SEC and others may take regulatory action against Coinbase. For instance, Coinbase’s backing of USDC might draw some fire in the near future, given recent regulatory actions against stablecoins.
This isn't the first time when Coinbase and SEC have been at odds over their respective stance on crypto regulation. A week ago, Coinbase CEO Brian Armstrong had also raised concerns about rumors of the strict stance adopted by the SEC on crypto staking. Brian Armstrong had taken to Twitter to caution SEC against getting rid of crypto staking in the U.S. for retail customers.
