Full transcript
Somewhat like the Ripple case, I get the feeling many people just don't seem to understand the trap laid by the SEC - and that Coinbase fell into it.
I agree with this:
best to expand the full tweet as is quite comprehensive.
Coinbase itself is quoted as admitting that:
“Persons that effect transactions in crypto assets that are securities in the United States may be subject to registration with the SEC as a “broker” or “dealer.” Platforms that bring together purchasers and sellers to trade crypto assets that are securities in the United States are generally subject to registration as national securities exchanges, or must qualify for an exemption, such as by being operated by a registered broker- dealer as an alternative trading system, or ATS, in compliance with rules for ATSs. Persons facilitating clearing and settlement of securities may be subject to registration with the SEC as a clearing agency.”
John Deaton disagrees:
But, sorry, Coinbase was not allowed to deal in unregistered securities - that was the trap.
i would like to see one case - just one example - of a coin that sought a Coinbase listing that went through the internal analysis and concluded that it was a security and then... went to register as one.
So... you agree to trade digital asset securities, but then only list digital assets.
Spot the difference.
However evil the SEC might be, being naive is not a defence.
It is fishy indeed