Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
  • TRADE
Crypto Flexs
Home»BLOCKCHAIN NEWS»SEC’s “hostile regulatory environment” helps Coinbase
BLOCKCHAIN NEWS

SEC’s “hostile regulatory environment” helps Coinbase

By Crypto FlexsMay 6, 20242 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
SEC’s “hostile regulatory environment” helps Coinbase
Share
Facebook Twitter LinkedIn Pinterest Email

Bitwise Chief Investment Officer Matt Hougan believes the recent regulatory scrutiny could work in Coinbase’s favor and benefit the company in its fight against the SEC.

The US SEC recently issued a Wells Notice to Robinhood Crypto, indicating potential enforcement action for securities violations. According to Hougan, these regulatory investigations are playing a significant role in shaping the competitive landscape among cryptocurrency exchanges, and are particularly benefiting Coinbase.

In a post on social media platform X, Hougan argued that the strict regulatory environment unintentionally creates a competitive advantage for Coinbase by building an artificial moat around its operations. These advantages allow Coinbase to maintain high profit margins and achieve significant returns in the short term.

The hostile regulatory environment has created an artificial “moat” for Coinbase’s business, helping it maintain extremely high margins and generate excess returns in the short term.

What’s impressive is that they’re using this opportunity to raise cash (currently $7.1 billion)…

— Matt Hogan (@Matt_Hougan) May 6, 2024

Coinbase reported $1.6 billion in revenue for the first quarter of 2024 despite its ongoing dispute with the SEC, driven by higher trading fees for institutional and consumer customers. The company’s financial success comes amid widespread regulatory action, including the SEC’s lawsuit against Coinbase last year, accusing it of operating as an unregistered exchange, broker and clearing house. Regulators also criticized Coinbase’s staking and wallet services.

Its direct competitor, Robinhood Crypto, facilitates trading in a variety of cryptocurrencies, including Bitcoin (BTC), Ether (ETH), Dogecoin (DOGE), and Shiba Inu (SHIB). Other entities have faced similar regulatory challenges in the cryptocurrency space, such as decentralized cryptocurrency exchange Uniswap and Ethereum development studio Consensys, which received Wells notices from the SEC last month.

Hougan emphasized that despite regulatory hurdles, Coinbase is using this period to strengthen its finances and diversify its operations.

“What’s impressive is that they are using this opportunity to raise cash and diversify their business on a larger scale,” he said.

Bitwise, the company Hougan heads, has also been active in the cryptocurrency market, managing eight out of nine Bitcoin ETF transactions since January 2024.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

NVIDIA RTX strengthens FITY’s AI -centered innovation in Cooler Design.

June 27, 2025

British trail EU, US encryption regulation, think tank warning

June 22, 2025

ZKJ Crypto Price Pumps 20%: Dead Cat Bounces?

June 17, 2025
Add A Comment

Comments are closed.

Recent Posts

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

No Altcoin Season 2025 ? Why Bitcoin Dominance Is Holding Strong In The Crypto Market

June 28, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Why It Matters For Every Crypto Investor

June 27, 2025

Safe smart account audit summary

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

CARV’s New Roadmap Signals Next Wave Of Web3 AI

June 27, 2025

Bybit Expands Global Reach With Credit Card Crypto Purchases In 25+ Currencies And Cashback Rewards

June 27, 2025

BYDFi Joins Seoul Meta Week 2025, Advancing Web3 Vision And South Korea Strategy

June 27, 2025

Earns $9,800 Per Day With BTC Breaks Through $107,000, GoldenMining Global Market.

June 27, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

TRON Price Propects USDT supply exceeded $ 80 billion

June 28, 2025

Stablecoin startups surpass 2021 venture capital peaks as institutional money spills.

June 28, 2025

No Altcoin Season 2025 ? Why Bitcoin Dominance Is Holding Strong In The Crypto Market

June 28, 2025
Most Popular

How to Choose the Best Bitcoin Mining Pool

March 31, 2024

SHIB Team Introduces Shibdentity, a New Era of Web3 Digital Identity

January 27, 2024

Cryptocurrency Shorts Under Pressure by $147 Million as Bitcoin Breaks $63,000

September 20, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.