Federal Commission to Investigate Coinbase Cryptocurrency Exchange

The U.S. Securities and Exchange Commission (SEC) has launched an investigation into the activities of the cryptocurrency exchange Coinbase, which is suspected of providing customers with access to trading in digital assets that may be considered securities.

In addition, the SEC and the New York prosecutor’s office helped arrest a former product manager at Coinbase, who is suspected of passing confidential information to third parties. Ishaan Wahi provided illegal financial advice to his accomplices and recommended when and which tokens to buy.

As CFTC Commissioner Caroline Pham emphasized, the SEC’s designation of several tokens as securities in the investigation against the former Coinbase employee could have serious consequences for the entire crypto industry. Earlier, insiders reported that the US Securities and Exchange Commission had launched an Binance-zvynuvatyly-u-porushenni-zakonu/">investigation to determine whether Binance Holdings violated the rules established for securities when it launched its BNB token as part of its initial public offering five years ago. However, a few days ago, SEC representatives denied this information.