March 27 (Reuters) - A federal judge in Manhattan on

Wednesday said the U.S. securities regulator's lawsuit against

Coinbase can move forward, but dismissed one claim the

agency made against the largest U.S. cryptocurrency exchange.

The decision partly granted Coinbase's motion to dismiss the

Securities and Exchange Commission's lawsuit alleging the

company is flouting its rules. It is a partial win for Coinbase

in what could be a lengthy and expensive court battle.

(Reporting by Hannah Lang in Washington)