In July 2022, Coinbase filed a petition with the SEC demanding a clear response regarding regulation of digital assets.
In the past months, the Commission has never responded to this request. The company now intends to seek judicial review of the request.
In its petition, Coinbase calls for “proposed and adopted rules governing the market for digitally traded securities.”
In fact, the exchange is asking for public clarification as to whether the current regulatory framework can be used to control crypto-asset activities.
The SEC has not commented on the petition since last July. Meanwhile, the Securities and Exchange Commission has stepped up pressure on cryptocurrency companies.
“The law requires the SEC to respond to such appeals “within a reasonable time,” but we have never received a sane response.
So today (April 24) we went to court” – Coinbase CLO Paul Greval.
He further added the following:
“Judging from enforcement actions and public statements, the SEC has already decided to deny our petition.
But they never said so publicly. This lawsuit seeks to get the regulator to openly share its opinion.”
Reminder, Coinbase received a “happy letter” from the SEC in late March. Some time after that, the company’s CEO Brian Armstrong openly announced that the exchange was ready to leave the United States.