In a recent development, Coinbase has expressed its frustration with the United States Securities and Exchange Commission (SEC) for not providing clear answers in an ongoing legal battle. Coinbase’s lawyers have criticized the SEC in a June 17 letter, accusing the regulator of avoiding direct answers to questions asked by the U.S. Court of Appeals while dealing with the crypto exchange’s rulemaking petition.
Coinbase’s petition calls on the SEC to establish a regulatory framework for digital assets. The exchange’s lawyers stated that the SEC “offers no straight answers and instead repeats its talking points” when ordered by the Court to address inconsistencies between its litigating position and its actions and statements elsewhere. The SEC, on the other hand, requested an additional 120 days on June 13 to respond to Coinbase’s rulemaking petition.
The crypto exchange claims that the SEC is unwilling to update the Court about its decision-making process and prefers to stay silent. This silence, combined with lengthy delays and enforcement actions, is taking a toll on the crypto industry. Coinbase reported that SEC chair Gary Gensler’s actions are causing irreversible damage to both the company and the industry as a whole.
While the legal battle continues, observers watch closely to see if the Court will grant a writ of Mandamus, forcing the SEC to fulfill its official duties under the law. Coinbase is arguing that setting a 60 days or less deadline is more reasonable than granting the SEC the 120 days it requested.
In a separate case, the SEC sued Coinbase on June 6, alleging that the platform violated various securities rules, primarily for offering cryptocurrencies deemed as unregistered securities by the regulator. Despite this ongoing legal battle, the crypto community is still eager to see developments in the blockchain and crypto space and expects a clearer regulatory framework to foster innovation and adoption.
Source: Cointelegraph
