Kentucky Drops Coinbase Lawsuit, Signals Shift in Crypto Regulation

The state of Kentucky has dropped its lawsuit against Coinbase, ending a two-year legal battle over the exchange’s staking services. This marks a significant shift in crypto regulation as it follows similar dismissals by Vermont and South Carolina. The agreement to dismiss without prejudice was filed on March 31st and underscores the growing trend of state regulators backing off from lawsuits against Coinbase, particularly concerning its staking operations.