Coinbase Is Setup To WIN Against The SEC!

I made a video about why I think Coinbase is not only going to win against the SEC in its lawsuit but also why I'm long-term bullish on COIN stock. I've posted the text version below for anyone who would like to read my notes instead of watching the video.

Video On Youtube

9 Months ago, I made a video talking about a stock that I believe has the potential to explode over the next 5-8 years and so far, that prediction has come true.

With recent news about this company, I wanted to make a video talking about some of the negative press that has come out but also talk about why I’m even more bullish about it now than I was 9 months ago.

Recently Coinbase filed a motion to dismiss the case that the SEC brought forth on them claiming that they broke the law concerning securities. Specifically the sale of unregistered securities.

Few things of note:

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1. Coinbase is a publicly traded company. In order for them to list on a public stock exchange, the filing has to go through the SEC. The SEC approved their filing and in doing so approved their business model back in 2021.
2. The SEC has taken 30 meetings with Coinbase since their public offering. Not once in those meetings did the SEC allude to any unlawful activities the exchange was conducting and in that regard, the SEC should be held liable for negligence if Coinbase is found guilty of breaking the law. *That’s my opinion. I’m not a lawyer. Take that with a grain of salt.
3. The SEC is now claiming that Coinbase willfully broke the securities laws and ignored the Howey test. However, Coinbase has spent copious resources on making sure the exchange chose assets they believed didn’t pass the Howey test. The SEC has had 11 years since Coinbase started their business to label some of these assets as securities but for whatever reason have waited until now to do so.
4. The chairman of the SEC, Gary Gensler has blatantly refused to take a meeting with Coinbase. If their intent was to make sure exchanges were operating within the legal realms, shouldn’t they have acted in good faith to assist these exchanges in any way they could?

It all seems very questionable at best and almost sinister in nature. It begs the question of what the SEC and this administration is planning. Is this all a part of the plan to roll out a CBDC? Only time will tell.

I personally believe that Coinbase is on track to have exponential growth with its business model. Here’s why:

If you look at all of the recent Bitcoin ETF filings by Blackrock, Fidelity, Ark Invest, etc, you’ll find that the majority of them are planning to use Coinbase as their custodian or for security/surveillance. What does that mean? It means that when these ETF’s finally get approved by the SEC, and they will I have no doubt about that, Coinbase is going to be raking in the money off of fees. ( just look at BlackRock's reputation of filing for ETF's)

A great indicator of things to come is the fact that Cathie Wood’s Ark Invest has been buying shares of Coinbase non-stop since the company went public. Since the end of last year, they have been aggressively purchasing shares trying to lower their average purchase price. This indicates to me that they are positive these ETF’s will be approved and Coinbase is going to come out on top as the leader in the US markets for crypto exchanges. In a recent interview, Cathie Wood said that Ark Invest is the first in queue for Bitcoin ETF’s to be approved by the SEC. They clearly know much more than we do.