Coinbase, US largest crypto exchange, and Brad Katsuyama’s IEX Exchange Board are reportedly in talks to create a federally regulated digital asset exchange. Coinbase’s this move has landed amid the recently increased crypto-related scrutiny by the US SEC.
Charles Gasparino, a Fox Business journalist revealed Coinbase and IEX planning came keeping in sight the horrible FTX collapse. He added that Brad and Sam Bankman-Fried (SBF) earlier had a meeting with the US SEC Chair, Gary Gensler in order to gain approval
The meetings with the US SEC chair happened around the time when SBF’s FTX went on to file for bankruptcy back in November. However, the financial watchdogs have called out the FTX case as one of the biggest crypto industry frauds.
IEX stated that they will continue to consider ways to provide a regulatory path for digital asset securities. This move includes conversations with regulators and other market participants. Meanwhile, they have not formed an agreement on any specific proposal which includes the third parties.
However, Coinbase hasn’t commented on the matter. The crypto exchange reported higher-than-expected fourth-quarter revenues of $605 million amid the crypto winter. However, several experts suggested an average revenue of around $581 million.
Coinbase is still planning to do more lay off in order to improve the company’s financial performance. Meanwhile, the crypto firm has laid off its employees twice last year. The company earlier stated that it would try to stay near break even in this market situation.
However, after the latest revenue reports, the firm stated that it will now strive to maintain positive earnings before items like taxes, interest, depreciation, and more.
