• Coinbase has launched its international exchange platform in Bermuda, called Coinbase International Exchange.
• The firm will allow customers outside the US to trade in perpetual futures or products tied to the predicted future prices of commodities.
• Coinbase is currently under regulatory scrutiny by the Securities and Exchange Commission (SEC), who sent them a Wells Notice.
Coinbase Launches In Bermuda
Popular digital currency exchange Coinbase is launching its Bermuda-based trading platform, known as Coinbase International Exchange. This platform allows customers not located in the United States to trade in perpetual futures or products tied to the predicted future prices of commodities such as bitcoin and Ethereum.
Regulatory Scrutiny By SEC
The company is currently under the watchful eye of the Securities and Exchange Commission (SEC). Not long ago, they sent Coinbase a Wells notice, meaning that while they had not been formally charged with any crime yet, such a charge was likely coming soon and executives should prepare themselves for a legal fight.
Coinbase’s Response To SEC
In response to this action taken by the SEC, Coinbase has stated it does not know what it could possibly be charged with at this time. They have also decided to sue the SEC in order to get a quicker response on their survey that was submitted last July. If successful, this would provide clarity about whether crypto business can be governed by present-day securities laws or not.
SEC’s Actions Towards Crypto Companies
The SEC has been taking significant action against various cryptocurrency companies recently; this includes filing lawsuits against leading US-based digital currency exchange Kraken over alleged violations of federal securities law. As a result of these actions, Kraken was forced to pay $30 million in fees and penalties back in 2020.
Despite ongoing battles between crypto companies and regulatory agencies like the SEC, Coinbase continues to push forward with its global ambitions by launching its International Exchange platform in Bermuda thus expanding into new markets outside of America.