Coinbase Vs SEC Hearing Today, Appealing for Dismissal of Lawsuit & Exchanges Earning Exceeds Estimate in Q2
Coinbase Q2 💪 Revenue Beats Estimates 🚀🌟Confidently facing SEC! 😎
Hey there, Coinpedians!
Exciting news from Coinbase! The largest US cryptocurrency exchange just reported its second-quarter results, and they're looking promising. Despite a net loss, their losses have narrowed significantly to $97 million, compared to a record $1.1 billion last year.
What's even more impressive is that Coinbase's revenue exceeded estimates, reaching $707.9 million, a 12% decline but still higher than analysts' consensus estimate of $631.2 million. The rebound in crypto prices played a role in this, boosting the company's performance in the first half of the year.
However, Coinbase hasn't been without its challenges. It's been embroiled in a fight with US regulators, with the Securities and Exchange Commission (SEC) suing them for allegedly running an illegal exchange. But Coinbase is not backing down. Their Chief Legal Officer, Paul Grewal, expressed confidence that they will win the case. In fact, they plan to file an order seeking dismissal of the lawsuit on August 4th.
Grewal argues that Coinbase never sold securities as alleged by the SEC and that the regulator lacks authority over crypto exchanges. The company believes that achieving regulatory clarity is essential for the industry's growth. With the SEC lawsuit looming, Coinbase aims to bring clarity to the space and resolve conflicting messages about the legal status of cryptocurrencies.
In the midst of these legal battles, Coinbase is pushing forward with new initiatives. They recently launched the Coinbase International Exchange, allowing non-US investors to trade crypto derivatives. The venue has already seen substantial trading volume, and they have exciting plans to add more features later this year.
Though there's been some volatility in the market, Coinbase remains optimistic about the future. They expect subscription and services revenue to reach $300 million in the current quarter. So, while the journey may have some bumps, Coinbase is ready to navigate through and emerge stronger.
Keep an eye on Coinbase as they continue to make waves in the crypto world. That's all for now. Stay tuned for more exciting updates from the world of cryptocurrencies!
Happy trading!😊
Latest News
SEC Freezes DEBT Box Assets in $50M "Node License Sham" Allegation!
The SEC has frozen assets of DEBT Box, a blockchain mining software firm, accusing it of perpetrating a $50 million fraudulent crypto scheme.
The firm was allegedly selling unregistered securities called "node licenses" since March 2021.
DEBT Box claimed to be a decentralized eco-friendly blockchain and promised daily rewards through various projects linked to industries like real estate, commodities, agriculture, and technology.
The SEC called the node licenses a "sham" designed to obscure the fact that the total supply was created by the company using blockchain code. The agency seeks permanent injunctions, return of ill-gotten gains, and civil penalties against the firm.
Ether ETF Frenzy! ProShares Files the 11th Application with the SEC
ProShares files the 11th application for an Ether exchange-traded fund (ETF) in less than a week.
The proposed ETF will track the performance of holding long positions in the nearest maturing monthly Bitcoin and Ether futures contracts.
In the past seven days, a total of 11 Ether-related ETF filings have been submitted, all of which are for futures ETFs.
If approved, the Ether ETFs will launch 75 days from their respective filing dates, with the first launch expected on October 12th.
SEC Chair Wants To Shift Focus From Crypto To AIÂ
SEC Chair Gary Gensler is shifting the agency's focus from regulating cryptocurrencies to regulating artificial intelligence (AI).
He expressed concerns about major tech companies monopolizing AI development for financial market applications, potentially destabilizing the global economy.
Gensler emphasized that AI may lead to herding behavior and financial fragility, prompting him to propose potential regulations to address these issues.
Despite the risks in the crypto space, Gensler believes AI poses more significant financial risks to US residents, including mass automation and accountability concerns.
Also Read
XRP In Escrow Not Property Of Ripple Says Crypto AnalystÂ
Former SEC Director Says Ripple’s Legal Fate is Now Worse Than Ever
Crypto Market Update
The global crypto market cap was $1.17 trillion at the time of writing, experiencing a 24-hour dip of 0.26 percent.
Bitcoin price remained below $30,000 on Friday, standing at $29,130.40.
Other altcoins like Ethereum (ETH), Dogecoin (DOGE), Ripple (XRP), and Solana (SOL) were in the red.
Market fear and greed index was at 51 out of 100, indicating neutrality.
XDC Network (XDC) token was the biggest gainer with a 24-hour jump of nearly 15 percent.
Litecoin (LTC) was the biggest loser with a 24-hour dip of over 5 percent.
Any Feedback?
Get in touch with us here
Connect with us
