Coinbase Files Updated Brief Countering SEC's Appeal in Legal Battle Over Crypto Classification
CryptoNewsTerminal Staff24 May, 2024
Coinbase Files Updated Brief Countering SEC's Appeal in Legal Battle Over Crypto Classification
Coinbase has submitted an updated response to the U.S. Securities and Exchange Commission’s (SEC) move to dismiss the ongoing lawsuit between the two parties, according to CoinDesk. In this updated document, Coinbase delves into the complexities of investment contracts, questioning whether the SEC possesses the authority to classify secondary market transactions of cryptocurrencies as such, especially when these transactions lack a direct connection to the issuance of the digital assets. Previously in April, Coinbase initiated an appeal against the U.S. District Court's rejection of its dismissal request in the SEC lawsuit. The core argument in Coinbase's appeal revolves around the SEC's jurisdiction over secondary market transactions of cryptocurrencies that have no ties to the original issuance of the assets. This legal battle has significant implications for the regulatory landscape of the cryptocurrency industry, particularly regarding the classification and oversight of digital assets.
