Coinbase Urges SEC to Allow Third-Party Tokenization Without Issuer Consent

Coinbase filed a formal SEC submission on April 1, 2026, opposing mandatory issuer approval for third-party stock tokenization, arguing it contradicts Section 4(a)(1) of the Securities Act and decades of legal precedent. The exchange warns that requiring issuer consent could create anticompetitive barriers and drive blockchain innovation offshore.

• →Coinbase formally challenged SEC requirements for issuer consent in third-party stock tokenization through an official filing.
• →The filing argues mandatory issuer approval contradicts Section 4(a)(1) of the Securities Act and established legal precedent.
• →Coinbase warns that issuer consent requirements could create anticompetitive market barriers.
• →The exchange suggests such regulations could push blockchain innovation to offshore markets.
• →The dispute centers on balancing regulatory compliance with fostering innovation in tokenization technology.