Coinbase Acquires Keystone Capital, Eyes Blockchain Securities Market

What Does This Mean

Coinbase is seeking to become a fully licensed broker-dealer through its acquisition of three federally regulated firms.

Regulated trading platforms could eventually handle billions of dollars in tokens sold by companies in initial coin offerings.

While Coinbase is the largest US cryptocurrency exchange, it now offers only four types of virtual currency, including Bitcoin and Ethereum.

Details of Coinbase's licensure application process were laid out in a blog post entitled "Our path to listing SEC-regulated crypto securities", Coinbase explained that it's now waiting on approval from the US Securities and Exchange Commission (SEC) and FINRA for several forms of licensure: "a broker-dealer license, and alternative trading system license, and a registered investment advisor license".

In order to achieve this goal, Coinbase must first garner a broker-dealer license, an alternative trading system license, and a registered investment advisor license.

SEC Chairman Jay Clayton has said that cryptocurrencies created to replace sovereign fiat currencies - bitcoin, for instance - are not subject to securities laws, but there has been debate about whether other cryptocurrencies, such as those initially distributed through crowdsales, should be classified differently. Once it has these licenses, the company intends to seek approval from the U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) to offer blockchain-based securities.

Meghan Markle joins Joins Royal Family on the balcony at Buckingham Palace
Meghan made her debut on the Buckingham Palace balcony alongside Harry and the other family members and seemed totally at ease. The event was attended by other senior royals including the Queen , Prince Charles and the Duke and Duchess of Cambridge .

EA Origin Access Premier subscription gets pre-launch games
There's no official page yet for the new subscription, but this page should contain all the updates once they become available. Like the regular Origin membership, users can take 10% on other Origin digital purchases.

Battlefield 5 is getting Battle Royale
Those tuning in to watch should expect deeper dives into DICE-developed Battlefield V and BioWare's highly-anticipated Anthem . EA also announced that it will ditch the premium pass model for Battlefield 5 in favour of cosmetic upgrades and free maps.

With a presence in 32 countries, the San Francisco-based cryptocurrency company has traded $150 billion in assets and claims to have over 20 million customers.

In a blog post Wednesday, Coinbase president and chief operating officer Asiff Hirji announced the acquisition of Keystone Capital Corp., Venovate Marketplace, Inc., and Digital Wealth LLC.

"If 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", Hiriji said in the post.

He also said that Coinbase could tokenise the existing securities products apart from offering its own securitised token which could bring the benefits of Cryptocurrency-based markets to the regular securities markets.

In April the exchange took over Earn.com a company that lets users receive digital payments from mass market emails and by completing micro tasks.

The transaction would put Coinbase under the oversight of the SEC and Finra. Check our tools section.

Related news:

Hot News

isis-killer-beheading-video-story-top Trump rails against 'unfair' trade at G7 leaders summit
Jun 10, 2018 - 01:02
Investors are also concerned about the future of the North American Free Trade Agreement, which Trump has threatened to terminate. U.S. stock indexes initially dipped on Friday, partly due to investor nervousness over the G7 summit , but later turned positive.

New Trailer for ‘Sea of Solitude’ Revealed
Jun 10, 2018 - 00:57
At today's EA Play event for E3 2018, the publisher has announced a new game as part of its EA Originals label: Sea of Solitude . Geppert said that she started writing the game at one of the darkest and loneliest times in her life.

isis-killer-beheading-video-story-top Warriors sweep Cavs for third title in four years
Jun 10, 2018 - 00:56
But the weight of having to shoulder so much of the load throughout the Playoffs seemed to catch up with James in Friday's finale. Game 3 of this year's Finals brought in a total audience of 17.9 million sets of eyeballs watching on ABC on Wednesday night.

isis-killer-beheading-video-story-top Anemic Mets look to break out vs. struggling Orioles
Jun 10, 2018 - 00:41
Alex Cobb (1-7, 6.80 ERA) will start today for Baltimore , while NY counters with Jason Vargas (2-3, 8.53). I can't really say they are starting to slide as their slide began after their 11-1 start to the year.

isis-killer-beheading-video-story-top Somalia conflict: One US soldier killed, four wounded in firefight
Jun 10, 2018 - 00:16
A fourth servicemember suffered injuries minor enough to receive sufficient medical care in the field, AFRICOM said. Al-Shabab claimed credit for the attack, the SITE Intelligence Group said in a statement Friday.

isis-killer-beheading-video-story-top "'I Tell Alisson To Come To Liverpool!" Jokes Firmino
Jun 10, 2018 - 00:15
Liverpool could make a move for Bayer Leverkusen goalkeeper Bernd Leno, 26, but would have to pay £22m for the German. Loris Karius may never recover from his Champions League nightmare while Simon Mignolet simply isn't good enough.

isis-killer-beheading-video-story-top Firmino: Sergio Ramos comments "an idiotic thing of him to say"
Jun 10, 2018 - 00:11
Ramos has denied any responsibility for either Liverpool player's injuries, in an interview with Spanish sports newspaper AS. Egyptian Salah was forced off in the first half of Saturday's UEFA Champions League final between the two sides in Kiev .

isis-killer-beheading-video-story-top Murray 'getting closer' to making competitive return
Jun 09, 2018 - 23:50
Meanwhile, Serbian star Novak Djokovic is also doubtful about making an appearance at this year's Wimbledon championships. Meanwhile, Novak Djokovic put doubts on his grass-court summer plans following his loss to Marco Cecchinato.

isis-killer-beheading-video-story-top First 'Bond girl' Eunice Gayson dead at 90
Jun 09, 2018 - 23:26
Gayson (pictured left in the 1960s) will go down in cinema history for helping coin Bond's catchphrase " Bond, James Bond ". She also starred in the 1958 Hammer horror classic The Revenge Of Frankenstein alongside the legendary Peter Cushing.

isis-killer-beheading-video-story-top Gov. Murphy to sign 6 gun control bills passed by Legislature
Jun 09, 2018 - 23:23
Wondering what the holdup is for sports betting to pass in New Jersey? The track has loudly wanted to begin taking bets Friday. The bill set the tax rate for casinos at 8.5 percent, with an additional 1.25 percent payment to help market Atlantic City.

isis-killer-beheading-video-story-top International Monetary Fund agrees to $71 billion deal to help Argentina's economy
Jun 09, 2018 - 23:11
Treasury minister Nicolas Dujovne said this was 11 times greater than Argentina's quota which reflected the support of the worldwide community for country.

isis-killer-beheading-video-story-top 1M Lotto Tickets Sold In London, Windsor
Jun 09, 2018 - 23:11
Although B.C. wasn't home to the winning jackpot ticket, there is someone $202,003 richer from a ticket purchased in Surrey. There was one winning ticket for the $60 Million jackpot in Friday's Lotto Max draw and it was purchased in that province.

isis-killer-beheading-video-story-top Halep lifts first Grand Slam trophy at Roland Garros
Jun 09, 2018 - 23:10
After she broke Stephens for the second time in the third set, it was clear: Simona Halep's moment had finally arrived. After breaking Stephens to even the match at one set apiece, she jumped out to a 5-0 lead in the final set.

isis-killer-beheading-video-story-top Dolby Atmos Box With Built-In Echo For Alexa Control
Jun 09, 2018 - 22:42
Amazon's Fire TV Cube is able to catch audio from every direction through its far-field voice recognition, eight microphones. The Amazon Fire TV Cube is powered by a quad-core processor and comes with Ethernet port and Wi-Fi support.

isis-killer-beheading-video-story-top LeBron says Cavs don't have playmakers, wants Wade back
Jun 09, 2018 - 22:30
Irving is under contract to play for the Celtics next season, and is slotted to make just over $20 million. Now, for the Lakers specifically, this kind of makes me feel like it'll be a boon or bust offseason.