The SEC may drop its lawsuit against Coinbase, marking a crucial turning point for the crypto industry. Here's what it means for the industry.
In the latest development in the case, the Securities and Exchange Commission (SEC) has signalled its willingness to drop its lawsuit against cryptocurrency exchange Coinbase. The commission has requested 30 days to review the appeals filed by the exchange.
This move is part of a broader plan to transform the crypto industry towards a more flexible regulatory approach. While there are no specific regulations for cryptocurrency exchanges in line with those of traditional finance, the crypto industry needs to set its own rules to ensure fair transactions.
The SEC ready to withdraw lawsuit against Coinbase
The SEC's lawsuit against Coinbase was one of the most notable actions taken under Gary Gensler's leadership as chairman of the commission. In 2023, the SEC filed a lawsuit against the exchange claiming that it had to comply with the same regulations as stock exchanges and securities firms.
Now, according to the latest rumours, the situation could be reversed.
In this regard, VanEck's head of digital research, Matthew Sigel, said:
"We expect the ongoing lawsuit between Coinbase and the SEC to be wholly or partially overturned."
Coinbase, a leader among crypto exchanges, has adopted several strategies to deal with this legal battle. From appeals to countersuits against the commission, it has found a plan of action that seems to be leading it towards victory. The exchange has also relied on allies in the crypto industry, turning this dispute into a fight for the future of the industry in the United States.
If Coinbase succeeds in prevailing against the SEC, it may have the opportunity to lead the creation of legislation tailored to the crypto sector. So far, the exchange has contributed to Fairshake, known as Pro Crypto SuperPAC. In addition, Coinbase CEO Brian Armstrong has established direct relationships with Donald Trump.
With Trump's possible re-election approaching, Coinbase has already scored major successes against the SEC. Earlier this month, Coinbase's Chief Legal Officer testified before Congress on several issues and in his letter to shareholders highlighted the significant progress made in the regulatory arena.
The SEC has not yet officially withdrawn the lawsuit, but has stated that it may consider a "potential resolution" of the legal dispute, asking for 30 days to review the appeal filed by Coinbase.
In the past, the SEC has already withdrawn its lawsuit against Binance, and will most likely do the same with Coinbase.
Now it all depends on Coinbase. It may soon free itself from the pressure exerted by Gary Gensler and position itself as a leader in shaping future regulations for the entire crypto sector. It is not yet clear when these regulations will be implemented, but the change is now underway.
Arthur Hayes, former CEO of BitMEX, urged Zcash (ZEC) holders to withdraw their coins from exchanges and move them to shielded addresses, revealing that ZEC is now his second largest position.
The price of XRP falls 7 per cent on the eve of the launch of the first US spot ETF managed by Canary Capital, as traders weigh hype, deleveraging and the risk of the classic 'sell the news'.
Tether moves like a sovereign wealth fund: it hires traders from HSBC and accumulates billions in physical gold. The strategy, which mirrors the behaviour of central banks, marks a break from dependence on the US dollar.
Trump-related tokens register a massive and inexplicable rally (MELANIA +54%), despite the crypto market's cautious recovery. Insider hoarding is speculated.
In the latest development in the case, the Securities and Exchange Commission (SEC) has signalled its willingness to drop its lawsuit against cryptocurrency exchange Coinbase. The commission has requested 30 days to review the appeals filed by the exchange.
This move is part of a broader plan to transform the crypto industry towards a more flexible regulatory approach. While there are no specific regulations for cryptocurrency exchanges in line with those of traditional finance, the crypto industry needs to set its own rules to ensure fair transactions.
The SEC ready to withdraw lawsuit against Coinbase
The SEC's lawsuit against Coinbase was one of the most notable actions taken under Gary Gensler's leadership as chairman of the commission. In 2023, the SEC filed a lawsuit against the exchange claiming that it had to comply with the same regulations as stock exchanges and securities firms.
Now, according to the latest rumours, the situation could be reversed.
In this regard, VanEck's head of digital research, Matthew Sigel, said:
Coinbase, a leader among crypto exchanges, has adopted several strategies to deal with this legal battle. From appeals to countersuits against the commission, it has found a plan of action that seems to be leading it towards victory. The exchange has also relied on allies in the crypto industry, turning this dispute into a fight for the future of the industry in the United States.
If Coinbase succeeds in prevailing against the SEC, it may have the opportunity to lead the creation of legislation tailored to the crypto sector. So far, the exchange has contributed to Fairshake, known as Pro Crypto SuperPAC. In addition, Coinbase CEO Brian Armstrong has established direct relationships with Donald Trump.
With Trump's possible re-election approaching, Coinbase has already scored major successes against the SEC. Earlier this month, Coinbase's Chief Legal Officer testified before Congress on several issues and in his letter to shareholders highlighted the significant progress made in the regulatory arena.
The SEC has not yet officially withdrawn the lawsuit, but has stated that it may consider a "potential resolution" of the legal dispute, asking for 30 days to review the appeal filed by Coinbase.
In the past, the SEC has already withdrawn its lawsuit against Binance, and will most likely do the same with Coinbase.
Now it all depends on Coinbase. It may soon free itself from the pressure exerted by Gary Gensler and position itself as a leader in shaping future regulations for the entire crypto sector. It is not yet clear when these regulations will be implemented, but the change is now underway.
Read Next
Arthur Hayes Pushes Zcash Towards 'Shield': Halving and Regulatory Risks in Focus
Arthur Hayes, former CEO of BitMEX, urged Zcash (ZEC) holders to withdraw their coins from exchanges and move them to shielded addresses, revealing that ZEC is now his second largest position.
The First Spot ETF on XRP in the US Is imminent, but the Price Falls Early
The price of XRP falls 7 per cent on the eve of the launch of the first US spot ETF managed by Canary Capital, as traders weigh hype, deleveraging and the risk of the classic 'sell the news'.
From Stablecoin to Sovereign Wealth Fund: Tether's Gold Turn Abandoning the Dollar
Tether moves like a sovereign wealth fund: it hires traders from HSBC and accumulates billions in physical gold. The strategy, which mirrors the behaviour of central banks, marks a break from dependence on the US dollar.
Trump-linked tokens fly: Is there a Secret Behind the Sudden Rally?
Trump-related tokens register a massive and inexplicable rally (MELANIA +54%), despite the crypto market's cautious recovery. Insider hoarding is speculated.