Coinbase Calls Out the SEC for Its Evasive Approach
In a letter filed on June 17, Coinbase’s legal team criticized the SEC for not directly addressing their rulemaking petition. This petition urges the SEC to create a regulatory framework for digital assets. The SEC’s indirect responses and repetition of its talking points, instead of providing clear answers, became the focus of Coinbase’s complaints.
SEC Seeks More Time, Coinbase Disagrees
The SEC, on June 13, requested an additional 120 days to respond to Coinbase’s rulemaking petition. This delay sparked further frustration in Coinbase, leading the firm to accuse the SEC of reluctance in informing the court about its progress.
Impact of SEC’s Silence on the Crypto Industry
The extended silence, delays, and enforcement actions from the SEC continue to be a burden on the crypto industry. Coinbase believes that the actions of SEC Chair Gary Gensler could cause irreparable damage to a U.S. public company and the entire industry.
Coinbase Legal Chief Speaks Out
Coinbase’s chief legal officer, Paul Grewal, criticized the government’s unusual stance in a series of tweets. He hopes for the court to grant a writ of mandamus, considering the SEC’s rejection of Coinbase’s petition.
A New Deadline and Another SEC Lawsuit
In an attempt to speed up proceedings, Coinbase has proposed that the court set a new deadline of 60 days or less from the SEC’s request date. Meanwhile, the SEC filed another lawsuit against Coinbase on June 6, alleging various securities rules violations.
Conclusion: An Industry in Need of Clarity
The crypto industry has long called for clear regulations, and the latest chapter in Coinbase’s legal battle with the SEC underscores this need. The exchanges’ firm stand against the SEC’s evasive tactics sends a strong message about the urgent requirement for more direct communication and transparency from regulatory authorities. The extended delays not only hinder the growth and development of the crypto industry, but they also raise concerns about potential damage to the reputation and stability of public companies involved. With SEC lawsuits stacking up, the future of digital asset regulation remains uncertain, and the industry keenly awaits the regulator’s response to the rulemaking petition. This ongoing saga highlights the pivotal role of regulatory bodies in shaping the digital assets landscape and the industry’s call for clarity to foster growth and innovation.
