Coinbase Claims Never Requiring Licensing for Acquisitions Through SEC
Coinbase had previously stated that official authorities had granted the digital exchange proper regulatory confirmation and permission to acquire new cryptocurrencies and introduce them to its trading platform. Despite the prior confirmation, Coinbase is currently turning its back on the approving authorities.
After a representative of the company stated that the Coinbase was officially approved by the Financial Industry Regulatory Authority and the US Securities and Exchange Commission, the company now claims that no approval was passed strictly due to Coinbase requiring no permission for such regulations from the beginning.
In another statement, the representative explained that no approval is needed by the SEC regarding change of control applications. Speaking to many key figures in the SEC, the company disclosed plenty of information about its plans, among them, being the Keystone Entity and its acquisition. In light of these events, approval to acquire Keystone was only required by FINRA.
As a misguided situation and amongst much confusion since Coinbase appears to maintain its FINRA permission. Given the SEC’s history with cryptocurrencies, albeit a mostly negative one, the recent announcements displayed a supposed collaboration between FINRA and the SEC granted its lack of any authoritative input.