Coinbase vs. SEC Battle is Looking to Get Heated
Coinbase isn't planning to follow in the footsteps of Kraken who settled a case with the SEC after its stake program was accused of being a security.
The US Securities and Exchange Commission (SEC) makes no secret that it wants the crypto domain to suffer. However, the crypto-verse is ready to fight back, the crypto exchange Coinbase included.
GNcrypto already reported that Coinbase’s execs have laughed off the SEC’s Wells notice.
This was followed by an announcement where they wrote that after they received a vague and broad Wells notice from the SEC regarding an unspecified portion of our listed digital assets, our staking service Coinbase Earn, Coinbase Prime, and Coinbase Wallet. This type of notice is issued when the SEC is mulling enforcement action for possible violations of securities laws.
“Coinbase is the same company that we were when the SEC allowed us to become public two years ago, after detailed discussions with us about the very aspects of our business that are now the subject of the Wells notice,” they write.
Coinbase also insists that the modern financial system needs updating which is why it plans to continue rolling out its project and is ready to defend itself vigorously and in court should litigation take place.
Meanwhile, it also launched a project dubbed Stand with Crypto, which is a “commemorative NFT is a symbol of unity for the crypto community seeking sensible crypto policy.”
“The NFT features a blue shield, representing a collective stand to protect and promote the potential of crypto. The blue shield not only shows your support for the cause but also that you’re part of a growing community that believes in the future of crypto. This is a purely commemorative NFT with an open mint and has no intended utility or value,” it reads.
At the time of writing more than 75,000 of these NFTs were minted.
On April 24, Coinbase filed a narrow action in federal court to make the SEC respond yes or no to our July 2022 petition asking the SEC to use its formal rulemaking process to provide guidance for the crypto industry.
"From the SEC's public statements and enforcement activity in the crypto industry, it seems like the SEC has already made up its mind to deny our petition," Coinbase's chief legal officer, Paul Grewal, wrote in a company blog post. "But they haven't told the public yet."
Previously, GNcrypto mulled whether Coinbase is expanding to Africa.
