Coinbase said the US Securities and Exchange (SEC) threatened to sue the company if it launched a product that allows users to earn interest by lending crypto assets as planned. Coinbase Chief Legal Officer Paul Grewa said Coinbase will delay the launch of this “loan” project until at least October as a result. Projects that allow cryptocurrency owners to exchange loans for interest are becoming more common around the world, but some regulators, particularly in the US, are beginning to raise concerns that such products should comply with existing securities laws. Grewal said the SEC's concerns about “borrowing” the company's products relate to regulators believing the product involves a type of security. But Coinbase thinks this isn't the case.