Arguments Conclude in Coinbase and SEC Case, Judge Holds on De | Crypto Retro

Arguments Conclude in Coinbase and SEC Case, Judge Holds on Decision

Oral arguments kicked off in Manhattan Wednesday regarding the highly anticipated case against Coinbase brought forward by the United States Securities and Exchange Commission (SEC).

The federal agency originally filed the lawsuit against Coinbase in June 2023, alleging that the cryptocurrency exchange failed to register as a securities exchange under the logic that several of the cryptocurrencies sold on the platform were classified as such.

However, Coinbase pushed back last August by claiming that none of the tokens in question classified securities at all.

“The SEC has violated due process, abused its discretion, and abandoned its own earlier interpretations of the securities laws,” Coinbase wrote in their brief. “But there is a more fundamental problem with its case—one the Chair recognized two years ago and that entitles Coinbase to judgment on the pleadings now: The subject matter falls outside the agency’s delegated authority.”