Cryptocurrency exchange OKX has advised its users in India to prepare for account closures following the government’s compliance orders against several exchanges. Coinbase is gearing up to launch new futures products for Dogecoin, Litecoin, and Bitcoin Cash, and the United States Securities and Exchange Commission (SEC) is reported to be attempting to classify Ethereum as a security. Here are three significant developments that have marked the last 24 hours.
OKX Takes Significant Step
OKX cryptocurrency exchange is ending its services in India nearly three months after the Indian Ministry of Finance’s Financial Intelligence Unit (FIU) issued compliance notifications to nine foreign crypto exchanges. On March 21, OKX asked its Indian users to close their accounts and withdraw their funds by April 30. The exchange cited local regulatory barriers as the main reason behind the decision.
India continues to be a challenging space for foreign crypto exchanges despite being an emerging market, due to the lack of clear regulatory guidelines and strict government actions. Discussions regarding a regulatory framework have been ongoing for nearly four years, yet the Indian government seems to have no intention of embracing or legally scrutinizing the burgeoning crypto market.
Coinbase Announces Listing Plans
Cryptocurrency exchange Coinbase believes that Dogecoin’s enduring popularity has transcended meme culture to become a fundamental part of the cryptocurrency industry and is now planning to launch futures products for the cryptocurrency. Coinbase Derivatives announced in three separate letters sent to the United States Commodity Futures Trading Commission (CFTC) on March 7 that it plans to launch cash-settled futures contracts for Dogecoin, Litecoin, and Bitcoin Cash starting April 1.
Coinbase justified its decision to list Dogecoin by claiming that its lasting popularity and active community support demonstrate that it has surpassed its origins as a mere joke to become a fundamental element of the crypto industry:
“Dogecoin’s enduring popularity and active community support show that it has transcended a meme culture to become one of the foundations of the crypto world.”
According to data from CoinMarketCap, Dogecoin’s price has increased by 17% during the day and was trading at $0.15 at the time of writing.
SEC Moves on Ethereum
According to a report by Fortune dated March 20, the SEC has issued several subpoenas to companies in its attempts to label Ethereum as a security. The report indicated that the SEC might have grounds to classify Ethereum as a security due to its ongoing investigation into the Ethereum Foundation. Meanwhile, the foundation seemingly acknowledged that it might be under investigation by a government authority.
The report suggests that since Ethereum’s transition from proof of work to proof of stake in 2022, the SEC has been exploring Ethereum’s potential status as a security. A decision by the SEC to regulate Ethereum could put it in direct conflict with the US Commodity Futures Trading Commission.
