On May 16th, COINOTAG reported a significant update regarding Coinbase (COIN.O), the leading cryptocurrency exchange in the United States. Following the dismissal of a lawsuit by the U.S. Securities and Exchange Commission (SEC), which alleged that the platform was unlawfully promoting cryptocurrencies, the regulatory landscape remains complex for Coinbase. Despite this positive development, the SEC is reportedly probing the exchange for potentially overstating its user base in prior disclosures.
This investigation, which originated during the Biden administration, has continued under President Trump’s leadership. It centers on Coinbase’s assertion of having more than 100 million “verified users” as claimed in its 2021 public filings. Notably, this figure has since been omitted from the company’s projections, raising questions about transparency. The regulatory scrutiny has led Coinbase to engage the legal expertise of **Debevoise & Plimpton**, indicating its commitment to navigating these contentious issues while ensuring compliance.