Coinbase Won’t Offer Lending Product Questioned by SEC

WASHINGTON— Coinbase Global Inc. won’t offer a lending program that drew the threat of enforcement action from U.S. regulators.

The product would have allowed customers holding a digital token called USD Coin to earn interest by lending it to other cryptocurrency traders. But the Securities and Exchange Commission told the company it couldn’t do so without registering the activity under investor-protection laws, Coinbase disclosed earlier this month.