Coinbase, the prominent cryptocurrency exchange, has launched a scathing attack on the United States Securities and Exchange Commission (SEC), accusing the regulatory agency of dodging crucial questions in their ongoing legal battle. In a letter submitted to the U.S. Court of Appeals, Coinbase’s legal team criticized the SEC for its failure to provide clear answers regarding Coinbase’s rulemaking petition, which calls for a comprehensive regulatory framework for digital assets.
The letter was a response to the SEC’s request for an additional 120 days to respond to Coinbase’s petition, a move that Coinbase interprets as further evidence of the SEC’s reluctance to keep the Court updated on its progress. Coinbase emphasized that the SEC’s silence, coupled with significant delays and enforcement actions, continues to adversely affect the crypto industry.
Expressing his disappointment, Coinbase’s Chief Legal Officer, Paul Grewal, took to Twitter to highlight the government’s unusual defiance of a direct question from a federal court. Grewal emphasized that the SEC’s evasive response to their petition raises serious concerns.
We couldn’t wait until our deadline next week to address the SEC’s response to the June 6 order from the Third Circuit. It is unusual for the government to defy a direct question from a federal court. But the SEC’s evasive response goes further, as we set out today. 1/5 pic.twitter.com/ssULmUpzi2
— paulgrewal.eth (@iampaulgrewal) June 17, 2023
In their pursuit of a resolution, Coinbase is urging the Court to issue a writ of Mandamus, a court order compelling government officials to fulfill their legal obligations. Additionally, Coinbase suggests that the Court set a deadline of 60 days or less, starting from the SEC’s request on June 13.
As the dispute unfolds, industry participants are closely monitoring the outcome, recognizing its potential to significantly impact the regulatory landscape surrounding digital assets.
Compiled by Coinbold
