Crypto exchange Coinbase reported higher revenue for its first quarter, while also emphasizing “crypto specific regulations” in its latest earnings report.
According to Coinbase, total revenue rose 23 percent to $773 million in the quarter. shareholder letter Released on Thursday afternoon.
The exchange also included a chapter in the letter on what it sees as “regulation by enforcement” in the US.
“The US is well positioned to lead in crypto and help update the global financial system. We need regulation by enforcement to allow this innovative technology to flourish and help the US maintain its leadership position,” the exchange said. Instead crypto specific rules are needed.
Wales Notice Mention
Coinbase has been embroiled in a battle with the US Securities and Exchange Commission following news that the exchange was served wells notice in March.
The Wells notice is a letter from SEC staff stating that the agency is ready to recommend formal charges to the five-member commission.
The Exchange responded to the Wells notice on April 19 73 page submissionArguing that the SEC has “not followed the law” by allowing companies like Coinbase to register with the agency.
Notably, SEC Chairman Gary Gensler has repeatedly stated that firms need to register with the agency, adding that many cryptocurrencies are securities that fall under his agency’s jurisdiction.
In a shareholder letter on Thursday, Coinbase did not back down.
“Despite our ongoing engagement with the SEC, they have not shared their specific concerns with Coinbase or provided any clarity or practical path forward for the industry. While we hope to avoid litigation, we are fully prepared to defend ourselves and advocate for the entire crypto industry if necessary,” the exchange said.
Coinbase also said it was “taking a dig at our direct advocacy efforts in Washington DC.”
