A fresh legal battle has emerged for Coinbase, the renowned U.S.-based crypto exchange, embroiled in a class-action lawsuit within California's Northern District. The plaintiffs accuse Coinbase of conducting transactions related to securities and investments involving a plethora of cryptocurrencies considered digital securities, comprising Algordand (ALGO), Near Protocol (NEAR), Polygon (MATIC), Uniswap (UNI), Solana (SOL), among other tokens.

Within the lawsuit's narrative, it stands clear that the leading American cryptocurrency platform allegedly "knowingly" and "intentionally" violated state security laws from the very commencement of its operations, functioning as an unregistered broker-dealer. The lawsuit further contends that Coinbase actively sought out customers for investment in the digital asset securities it proffered on its broker platform, using various channels such as their website, social media advertisements, traditional commercials, and even during the esteemed Super Bowl events.

Notably, the crux of the allegation revolves around Coinbase's failure to register itself or the securities transacted, hence the plaintiffs are now pushing for complete rescission—essentially the annulment of contracts—alongside injunctive relief and statutory damages. This legal development follows a prior altercation between the U.S. Securities and Exchange Commission (SEC) and Coinbase, where the SEC had taken the exchange to task for purportedly conducting unregistered sales of securities. In a concerning turn for the cryptocurrency sphere, the SEC's previous claims branded major cryptocurrencies like Cardano (ADA) as unregistered securities, making ripple effects felt across the industry.