Market

Coinbase bombs lending products after pressure from the SEC

Exchange Coinbase has ditched plans to launch its controversial loan product, claiming it was “a tough decision” in a blog post on Sept. 20.

“In an attempt to achieve regulatory clarity for the entire crypto industry as a whole, we made the difficult decision not to start the previously announced USDC APY program.”

The company cut waiting lists for “hundreds of thousands” of customers who had signed up for the program.

Coinbase’s original intent was to give people the opportunity to earn interest in a range of cryptocurrencies, starting with Stablecoin USC Coin.

CEO Brian Armstrong has publicly announced that the US Securities and Exchange Commission has threatened to sue the exchange over its yet-to-be-launched product and fire its employees.

The publicly traded company criticized the SEC for refusing to disclose why it believes the interest rate program is unregistered security.

Armstrong also pointed out that the loan products have been around for years, suggesting that Coinbase has been subjected to unfair regulator scrutiny.

However, those hoping for a showdown between the most significant US exchange and the watchdog were disappointed as the SEC caught the product in the first place.

Last week, Coinbase also faced backlash in the crypto community after successfully signing a $ 1.4 million deal with the Department of Homeland Security.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Annie

follow AZCoin News

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page

CoinX

Recent Posts

Cosmos Developer Interchain Foundation Sold 3000 ETH Today

Cosmos Developer Interchain Foundation sold 3000 ETH from its ICO today, totaling 21,600 ETH sold…

6 minutes ago

Zircuit Launches ZRC Token: Pioneering the Next Era of Decentralized Finance

George Town, Grand Cayman, 22nd November 2024, Chainwire

26 minutes ago

Inflation Warning By Vanguard Amid Tariffs And Labor Issues

Inflation Warning by Vanguard highlights risks during Trump’s term, citing tariffs and tighter labor markets…

42 minutes ago

Clanker Token Trading Volume Hits $59.8 Million High On November 21

Clanker token trading volume hit $59.8M on Nov 21, accounting for 14.75% of PumpFun. Fee…

1 hour ago

Bitcoin Spot ETF Inflows Hit $1 Billion Led By BlackRock

Bitcoin Spot ETF inflows hit $1.005B on Nov 21, led by BlackRock’s $608M and Fidelity’s…

2 hours ago

New York Techie Bagged $72M from $15K Investment in Ethereum — Here’s How BlockDAG Can Offer Similar Jackpot

Discover the success story of a New York tech entrepreneur who made $72M from a…

2 hours ago

This website uses cookies.