Bitcoin exchange Coinbase plans to take SEC battle to court!

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• The U.S. Securities and Exchange Commission (SEC) has officially rejected Coinbase Global Inc.’s request to regulate cryptocurrency.
• After receiving no response from the exchange, it took the market regulator to court. This was a last resort for the cryptocurrency trading platform, and the Third Circuit ultimately ruled in favor of the exchange.
• Grewal noted that Gary Gensler acknowledged that there will be no legal regulation of cryptocurrencies in the 2021 session.

The U.S. Securities and Exchange Commission (SEC) has officially denied Coinbase Exchange’s data petition!

Coinbase Takes SEC Battle to Court

Eighteen months later, the U.S. Securities and Exchange Commission (SEC) officially denied Coinbase Global Inc.’s request to regulate cryptocurrencies. Rather than suspending the investigation, Paul Grewal, the trading platform’s chief legal officer, confirmed the plan: Please dispute the response.

Paul Grewal expressed disappointment with the SEC’s response to his regulatory requests after months of silence from the regulator. After no response from the exchange, the market regulator went to court. This was a last resort for the cryptocurrency trading platform, and the Third Circuit ultimately ruled in favor of the exchange. This decision led the SEC to require regulatory transparency from the company by providing reports.

The SEC made the request for three main reasons: “Current securities laws apply to cryptocurrencies,” “The SEC responds to the cryptocurrency securities market through regulation,” and “The board’s ability to determine regulatory priorities is important.” refused.

Paul Grewal disagrees with this position because anyone who claims that existing laws are clear or that there is nothing more to do cannot have a fair view of the cryptocurrency industry. Grewal noted that Gary Gensler acknowledged that there will be no legal regulation of cryptocurrencies in the 2021 session.

Grewal cited a previous statement from Commodity Futures Trading Commission (CFTC) Chairman Rostin Behnam, who said most tokens under current law are commodities. Coinbase’s CLO did not specify when the company would file an appeal.

More chaos in the cryptocurrency world

The differing positions of the SEC and CFTC on the best asset classification in the cryptocurrency world are causing considerable confusion among industry members. Understanding which assets are securities and which are commodities still requires guidance that neither the SEC nor the CFTC are currently willing to provide.

In particular, industry experts such as attorney John Deaton XRP Holders believe the SEC Chairman has blatantly misled the American public because the cryptocurrency ecosystem contains enough uniqueness to be classified in a variety of ways.