Overview
• Coinbase to withdraw over 70k staked ETH amid SEC lawsuit
• Cardano company Input Output says ADA is not a security
• SEC filings reveal testimony of former Binance.US CEOs and Binance CEO CZ summoned to appear in District of Columbia court
Coinbase Withdrawal
Coinbase has announced its plans to withdraw over 70,000 ETH (Ethereum) that had been previously staked in response to the ongoing U.S. Securities and Exchange Commission (SEC) lawsuit against the cryptocurrency exchange giant. The move follows a recent statement from Cardano company Input Output claiming that the ADA token is not a security, which could have implications for other digital assets as well.
Brian Armstrong Responds
Coinbase CEO Brian Armstrong has responded to the SEC’s lawsuit by stating that Gary Gensler’s views “are not representative” of the U.S government’s position on cryptocurrencies. Meanwhile, recent SEC filings revealed testimony from former Binance.US CEOs who were also summoned to appear in a District of Columbia court alongside Binance CEO CZ for an undisclosed matter.
UK Tightens Regulation
The Financial Conduct Authority (FCA) in the UK is planning on introducing stricter regulations for crypto firms come October 1st this year, including promotional material containing “clear risk warnings” and bans on incentives such as referrals and joiner bonuses, as well as a 24-hour cooling-off period before any investments are made official. FCA Executive Director of Consumers and Competition Sheldon Mills stated that investors must understand that crypto is largely unregulated industry with no safety net when things go wrong.
Conclusion
It appears clear that regulatory authorities around the world are tightening up their stance towards crypto with new rules and regulations being implemented all across different jurisdictions, making it increasingly difficult for companies operating in this sector to remain compliant while continuing their operations effectively. Nevertheless, it remains important for investors to be aware of the risks involved with investing in cryptocurrencies so they can make informed decisions about their investments accordingly
