The SEC has said that Coinbase’s request for clarification on cryptocurrency rules “should be denied”
The Securities and Exchange Commission has urged courts to reject a plea from Coinbase for more defined guidelines on how to regulate cryptocurrencies.
U.S. Securities and Exchange Commission (SEC) vs. cryptocurrency exchange Coinbase. On Monday, things took an unexpected turn when the SEC filed for an injunction to have Coinbase’s request for the agency to provide clarity on cryptocurrency rules thrown out of court.
On April 27, the market shared its complaints with the public and disclosed that it had begun legal action against the American financial regulator.
Their main point was that the SEC had ignored a petition they had submitted in July of 2022. The petition questioned whether or not the cryptocurrency business should be subject to the Securities and Exchange Commission’s (SEC) current regulatory frameworks for securities.
When addressing a lawsuit with one of its regulators, he said, “Coinbase does not take any litigation lightly.” Without knowing how the SEC interprets the law with respect to our company, we, along with other firms in the sector, face the possibility of punitive measures from the SEC. On Monday, the SEC gave its official response, and it was negative: Coinbase’s request had been denied.