The U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) approved a deal for an American cryptocurrency company Coinbase to purchase broker-dealers Keystone Capital Corp., Venovate Marketplace Inc. and Digital Wealth LLC. This move will allow the platform to become one of the first regulated marketplace that is allowed to trade digital currencies that will be treated like securities.
Coinbase has for the first time announced their intention to become an adjustable broker-dealer in early June. Then it became known that the company is set to purchase Keystone Capital Corp. The next step will be the introduction of Coinbase’s technologies into the operation of acquired broker-dealers. However, company representatives did not specify exact time frames.
Recently, representatives of the trading platform Coinbase reported that they are considering listing Cardano, Stellar, ZCash, Basic Attention Token and 0x tokens. However, they added that they do not guarantee the appearance of these tokens on the exchange. Some of these cryptocurrencies can be recognized as securities in the U.S.
Why it is important
- Coinbase obtained the licenses of a broker-dealer, an Alternative Trading System (ATS) and a Registered Investment Adviser (RIA). This will add tokens with the properties of securities in the listing of the trading platform. Coinbase will therefore operate as a broker dealer and an investment adviser.
- The company will operate under the full supervision of the U.S. federal authorities, as opposed to before when various supervisors held oversight over Coinbase.
By Ekaterina Ulyanova