The Coinbase announced on 21 February that the US Securities and Exchange Commission set up to dismiss its June 2023 trial against the Crypto Exchange, a step that HC Vener and Company analysts to the company and comprehensive crypto industry ” Major victory “says.
Analyst Mike Colonnis said in a report that the final approval is pending from the SEC commission, but the management of the coinbase hopes that the case will be clear at the beginning of next week.
In the SEC case, the coinbase allegedly offered unregistered crypto asset securities and illegally operated as an exchange, broker and clearing company. However, the expectations for a dismissal will deny the headwind running on the stock of the coinbase and will provide a clear indication that the SEC is changing the attitude towards a more crypto-friendly attitude.
Regulatory overhang raised, business expansion required
Analysts wrote in their report, “Today’s announcement raises a major regulator overhang on shares.” They also expect that expensive legal fees for business expansion and decision to reduce open doors, especially in stacking and crypto listing.
Analysts said, “We will also expect dismissing the case of the coinbase would eventually expand the company’s staking business, which was forced since the enforcement action was released,” said the analysts. “We also see the ability to accelerate the new crypto listing on the coinbase platform, which will benefit the revenue and transactions of services respectively.”
The stock of the coinbase opened about 1% more on Friday morning in a silent step as an analyst expected a “more positive response” from the news. However, the stock of the coinbase quickly went red in red as the news of a major hack in the bibit snatched the entire crypto industry.
The stock of the coinbase closed at $ 235.37 on Friday, which was 8.2%below.
