Paul Grewal, Coinbase’s chief legal officer, unveiled on June 17 that Coinbase has implored the U.S. Court of Appeals for the Third Circuit to hasten the U.S. Securities and Exchange Commission’s (SEC) response to its rulemaking petition.
Earlier on June 13, the SEC requested an additional 120 days to address Coinbase’s petition, deeming its request unnecessary. However, Coinbase has rebutted this delay, stating that the lack of rapid regulatory clarity is damaging the industry amidst increasing enforcement actions by the SEC.
John Deaton, a notable XRP lawyer, praised Coinbase’s response, calling it “persuasive and compelling.” Grewal, too, emphasized that it’s uncommon for a federal court inquiry to be overlooked, pushing for an immediate ruling.
Coinbase’s petition, originally filed in the summer of 2022, has been allegedly side-stepped by the SEC. This lack of response is causing uncertainty in the crypto industry, affecting investors and market players alike.
In the midst of these proceedings, SEC Chair Gary Gensler maintains that most crypto assets should be considered securities. Nonetheless, ambiguity persists about whether the SEC or CFTC holds regulatory jurisdiction over crypto.
Coincidentally, a draft stablecoin bill has been introduced by the US House Financial Services Committee, which aims to clarify crypto regulations in the U.S. in the forthcoming weeks.
