Coinbase’s and other crypto stocks drop after SEC charges Binance with more than a dozen securities violations

Shares of Coinbase Global Inc.
COIN,
-12.70%
tumbled 10.1% in midday trading Monday, after the U.S. Securities and Exchange Commission charged rival cryptocurrency exchange Binance Holdings Inc. with more than a dozen securities law violations. Among some of the SEC’s allegations were that Binance and founder Changpeng Zhao misled investors about risk controls and corrupted trading volumes, as well as concealed who was operating the platform. That raised some concern of increased scrutiny of cryptocurrency trading platforms. That also appeared to weigh on the price of bitcoin
BTCUSD,
-5.53%,
which dove 5.3%, to put ii on track to close below $26,000 for the first time since March 16. Among other crypto-related stocks, Marathon Digital Holdings Inc.’s
MARA,
-9.08%
slid 6.8%, Riot Platforms Inc.’s
RIOT,
-9.14%
sank 9.0% and MicroStrategy Inc.’s
MSTR,
-8.94%
shed 8.5%.