SEC’s Coinbase Lawsuit Heralds Deepening US Crypto Crackdown (3)

The Securities and Exchange Commission widened its sweeping crackdown on crypto by accusing Coinbase Global Inc. of running an illegal exchange, a move that could make it harder for the industry to operate and for US citizens to trade.

In a 101-page lawsuit filed Tuesday in federal court in New York, the SEC alleged that Coinbase for years evaded its rules by letting users trade numerous crypto tokens that were actually unregistered securities. Just a day earlier, the regulator sued rival Binance Holdings Ltd., alleging a slew of violations.

The SEC moved against Coinbase, the biggest US crypto exchange, ...