Coinbase, a leading cryptocurrency exchange that in April was the first to become a public company, announced Sept. 7 that it was suspending the launch of its interest-paying crypto deposit account after an SEC threat to initiate enforcement action. Coinbase CEO Brian Armstrong, going beyond the company’s official statement, created a ruction by accusing the SEC of “really sketchy behavior” in this instance. Coinbase’s anger and confusion are evident. Others may share the anger, but they should not share the confusion, because a broader look at the securities law landscape makes the SEC’s actions seem obvious in retrospect. …
