Coinbase Challenges the SEC: Seeks Case Dismissal, Defending Its Practices
Coinbase has sent waves throughout Web3 by taking a stand against the recent lawsuit filed by the U.S. Securities and Exchange Commission....
- Coinbase has responded to the lawsuit filed by the SEC, arguing that the case lacks a solid legal foundation and should be dismissed.
- The SEC accused Coinbase of operating as an unregistered securities exchange and cited several tokens on the platform as unregistered securities.
- Coinbase argues that the cryptocurrencies on its platform do not classify as securities since they are not part of an investment contract.
- The company also highlights the SEC's endorsement of its public listing in April 2021 as evidence of prior acceptance of its business operations.
- Coinbase has requested the court to allow a motion for judgment and plans to file a motion to dismiss the case.
- The SEC asserts that many digital assets are securities and crypto firms are contravening its rules by failing to register.
The sentiment in the article is mixed. Coinbase is taking a stand against the SEC's lawsuit and arguing for the dismissal of the case. They believe the SEC's allegations go beyond existing law. On the other hand, the SEC asserts that digital assets are securities and crypto firms are not complying with regulations.