Coinbase Challenges SEC in New Motion

U.Today
U.Today

29 Jun 2023 8:43 AM

Coinbase, largest US digital asset exchange, is contesting claims against it by Securities and Exchange Commission (SEC)...

  • Coinbase, the largest U.S. digital asset exchange, has filed a motion to dismiss the U.S. Securities and Exchange Commission (SEC) lawsuit against it.
  • The SEC alleges that Coinbase should have registered as a securities exchange, broker, and clearing agency under federal securities laws.
  • Coinbase argues that the SEC's position is inconsistent and goes against previous understandings between the two entities.
  • The exchange claims that when the SEC approved its registration statement in 2021, there was no suggestion of the need to register its operations.
  • Coinbase asserts that the SEC's reversal is not based on material changes or new information, but solely a change in the SEC's stance.
  • The motion also contends that the SEC's claim violates due process and the constitutional separation of powers.
  • Coinbase cites SEC Chair Gary Gensler's testimony that the Commission lacked statutory authority to regulate businesses like Coinbase.
  • Coinbase states that none of the assets identified by the SEC as securities are indeed securities, and the transactions are not securities transactions.

The sentiment of the article is mostly negative towards the SEC's lawsuit, with Coinbase strongly disputing the allegations and arguing that the claims should be dismissed.

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You May Ask

What is Coinbase's response to the SEC's lawsuit?What does the SEC allege Coinbase should have done?Why does Coinbase argue that the SEC's position is inconsistent?What is Coinbase's argument regarding the assets identified by the SEC as securities?What does Coinbase cite as evidence that the SEC lacks statutory authority to regulate businesses like Coinbase?

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