According to Bloomberg, the U.S. Securities and Exchange Commission has sued the largest U.S. cryptocurrency exchange Coinbase in a New York court. Bitcoin is slipping below yesterday's lows. Shares of Coinbase (COIN.US) are losing nearly 11% before the open. The market is gaining confidence that a coordinated action by US regulators is taking place. Sizable pre-opening sell-offs are also noted in the stocks of other cryptocurrency companies like Microstrategy (MSTR.US) and HIVE Blockchain (HIVE.US).
- Berenberg analysts estimates that SEC moves may cost at least 37% of Coinbase net revenues. The key for the company may be to change business model and relocate from the US.
