Coinbase is on track to operate as a regulated broker/dealer.

Once approved, Coinbase will be able to offer blockchain-based securities, under the oversight of the US Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

It will have a broker/dealer license, an alternative trading system license, and a registered investment advisor license.

This is a topic which we have been talking about with clients for some months as we see the next catalyst to digital assets being the shift towards regulated exchanges and self-regulating securities tokens.

The combination of public blockchains and financial markets is going to be incredibly powerful.

This will open up retail and institutional capital to blockchain-based investing.

Furthermore, the SEC decision that Ethereum is NOT a security paves the way for Ethereum futures.

Our next series of reports explores these issues and highlights the opportunity for traditional corporations to participate.