SEC has investigated Crypto Exchange Coinbase (Coin) about whether it mistakenly mistaken its uses in previous securities archives and marketing material.

The probe began during the former presidential administration, while SEC was still under control of the then President Gary Gensler, according to News, who first reported the story but is lasting under SEC’s current, crypto-friendly leadership.

The metric in the heart of the investigation is Coinbas’s claim to have over 100 million “verified users.” It stopped using the metric in both detection and marketing material in 2021, the year it was published on Nasdaq.

Paul Grewal, Coinbases Head of Legal Officer, Coindesk said in an email declaration that SEC’s investigation is a “team-over-investigation from the prior administration of a metric we stopped reporting two and a half years ago, which was fully revealed to the public.”

“We explained that the verified users – metrically include anyone who confirmed their E -Mail address or phone number with us so that it can exaggerate the number of unique customers,” said Grewal “We also revealed – and continues to pass on – the more relevant metric of” monthly transactive users ” – the number of people using our platform in a given month.”

“Although we are strongly convinced that this study should not continue, we remain obliged to cooperate with SEC to bring this case to close,” added Grewal.

SEC did not respond to Coindesk’s request for comment before pressing time.

Already under pressure due to today’s transmission of a data violation, COIN shares dipped a little further on this SEC news, now down 6.6% on the session.