Shares of Coinbase (NASDAQ: COIN) are trading sharply lower in pre-market on Tuesday, after a Bloomberg report claiming the company is getting sued by the Securities and Exchange Commission (SEC) for alleged breach of US securities rules.

• The Securities and Exchange Commission sued Coinbase Global Inc. in federal court in New York on Tuesday, alleging the crypto firm broke US securities rules.
  
• Move follows a similar report by Bloomberg from yesterday: "SEC sues Binance and CEO Zhao of breaking US Securities Rules"