Coinbase, the popular crypto exchange, has announced a landmark achievement in its case against the U.S. SEC. As per Paul Grewal, the Chief Legal Officer at Coinbase, the U.S. Securities and Exchange Commission has dropped the case against the crypto exchange, denoting a significant victory. The executive took to social media to disclose this noteworthy win.
SEC Officially Pulls Back from Lawsuit against Coinbase
Coinbase CLO expressed thrill by announcing that the U.S. SEC has pulled back from the case confronting the to centralized crypto exchange. The executive added that the dismissal of the case resulted from a complete approval of the SEC. Notably, the case dismissal does not include any compromise or settlement. Hence, the securities regulator has just corrected its mistake by pulling back from the case.
The case is considered to be the part of the wider regulatory crackdown led by the SEC against the crypto realm. Since the filing of the case, Coinbase has been strongly highlighting SEC’s actions as unjustified. It has frequently voiced a lack of regulatory clarity, hindering growth and innovation in the U.S. market.
Coinbase Executive Emphasizes Need for Lawmaking to Prevent Such Challenges
While announcing this decision, Grewal stressed the importance of legislative action as it would prevent analogous legal challenges from occurring in the future. The executive assured that the crypto exchange will keep fighting till the implementation of clear rules is required for the industry to truly flourish within the country.
According to the executive, the dismissal of SEC’s case against Coinbase indicates a turning point. He also acknowledged the platform’s legal team and Wachtell and Sullivan & Cromwell for external counsel along with some other parties including Brian Armstrong (the Coinbase CEO). The executive pointed out the need for modifying the playbook dealing with a public company’s response to a lawsuit filed by a prominent regulator.
