{"id":68694,"date":"2018-07-17T06:00:31","date_gmt":"2018-07-17T13:00:31","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=68694"},"modified":"2019-11-07T05:59:15","modified_gmt":"2019-11-07T05:59:15","slug":"coinbase-gains-approval-to-list-security-tokens","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/coinbase-gains-approval-to-list-security-tokens\/","title":{"rendered":"Coinbase Gains Approval to List Security Tokens"},"content":{"rendered":"

In the midst of emerging regulation, digital asset exchanges are rushing to comply with a shifting cryptocurrency landscape. Through three key acquisitions, Coinbase<\/a> has gained regulatory approval to expand its asset offering and list tokens classified as securities.<\/p>\n

Update:<\/strong> Coinbase has clarified its position and started it has not in fact received any approval to list security tokens.<\/p>\n

In an email dated yesterday, Rachael Horwitz, spokesperson for Coinbase, said,<\/p>\n

\u201cIt is not correct to say that the SEC and FINRA approved Coinbase\u2019s purchase of Keystone because SEC was not involved in the approval process.\u201d<\/p><\/blockquote>\n

Horwitz\u2019s email further reads,<\/p>\n

\u201cThe SEC\u2019s approval is not required for the change of control application. Coinbase has discussed aspects of its proposed operations, including the acquisition of the Keystone Entity, on an informal basis with several members of SEC staff.\u201d<\/p><\/blockquote>\n

The Future of the Digital Economy: Security Tokens<\/h2>\n

On July 16, 2018, the U.S. Securities and Exchange Commission (SEC) and\u00a0Financial Industry Regulatory Authority (FINRA) approved Coinbase's acquisition of\u00a0Keystone Capital Corp., Digital Wealth LLC, and\u00a0Venovate Marketplace Inc., according to a Bloomberg<\/a> report.<\/p>\n

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Related:\u00a0Coinbase to Receive SEC Registration and Expand Digital Asset Listings<\/a><\/figcaption><\/figure>\n

Through the purchase, Coinbase secured an alternative trading system (ATS) license,\u00a0broker-dealer\u00a0license and registered investment advisor (RIA) license that will enable the firm to offer security tokens in compliance with regulatory authorities.<\/p>\n

Although different from public stock exchanges, alternative trading systems offer many of the same services for emerging digital asset classes. With the green light from regulators, Coinbase will be able to operate as one of the first regulated trading platforms to offer security tokens listed in initial coin offerings (ICO).<\/p>\n

In the initial announcement<\/a> made June 6, 2018, Coinbase COO Asiff Hirji also noted that the licenses enable the launch of new features and services on its platform:<\/p>\n

\u201cIf approved, these licenses will set Coinbase on a path to offer future services that include crypto securities trading, margin and over-the-counter (OTC) trading, and new market data products.\u201d<\/p><\/blockquote>\n

Coinbase Expanding Asset Offering<\/h2>\n

Announced<\/a> on July 13, 2018, Coinbase revealed the potential addition of\u00a0Cardano, Basic Attention Token, Stellar Lumens, Zcash and\u00a00x to its exclusive list of digital assets.<\/p>\n

\n

Today we are announcing that we\u2019re exploring the addition of the following assets to Coinbase: Cardano (ADA), Basic Attention Token (BAT), Stellar Lumens (XLM), Zcash (ZEC) and 0x (ZRX). https:\/\/t.co\/qoECyR0V1f<\/a><\/p>\n

— Coinbase (@coinbase) July 13, 2018<\/a><\/p><\/blockquote>\n