Fun

Coinbase requests interlocutory appeal over SEC’s ‘controlling question’

News Feed - 2024-04-13 02:04:29

Ciaran Lyons3 hours agoCoinbase requests interlocutory appeal over SEC’s ‘controlling question’Crypto exchange Coinbase argued that a question of law is controlling if its resolution could “significantly affect the conduct of the action.”955 Total views7 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksCryptocurrency exchange Coinbase has requested a United States court to scrutinize a specific “controlling question” raised by the U.S. Securities and Exchange Commission (SEC) in its ongoing lawsuit against the exchange. 


“The question presented here is unencumbered by factual disputes and therefore ripe for immediate review,” Coinbase argued in an April 12 filing with the U.S. District Court for the Southern District of New York.


Coinbase chief legal officer Paul Grewal explained in an April 12 post on X that the “controlling question” revolves around whether an investment contract requires “something contractual."


“Whether an “investment contract” can exist absent any post-sale obligation is a pure, controlling question of law,” the exchange claims in the court filing.


Grewal elaborated that while Coinbase holds the view that an investment contract requires contractual obligations after the sale, the SEC argues that it doesn"t.Source: Paul Grewal


This comes after U.S. District Judge Katherine Failla denied Coinbase’s motion to dismiss the SEC’s case against the exchange, alleging that it operates as an unregistered exchange, broker and clearing agency.


However, if the court decides to approve the interlocutory appeal, it could potentially significantly influence the case, which has been ongoing since June 2023.


This is because the SEC asserted that Coinbase crypto transactions were investment contracts “despite an absence of any alleged contractual undertakings,” according to Coinbase.“Reversal on the question presented would dispose of the SEC’s principal claims, which account for the bulk of the complaint’s factual allegations.”


It further claims that a question of law is controlling if its resolution could “significantly affect the conduct of the action.”


Related:Coinbase cleared in lawsuit over crypto transactions


Grewal highlighted the early filing of Coinbase’s appeal request, submitted just 17 days after the motion to dismiss was denied.


However, he justified the action due to its significance for the wider crypto industry, with the aim of resolving the dispute over crypto transactions as soon as possible.“We’re asking to take this up on appeal earlier than normal because it"s critical to our industry. The SEC’s action against us and other digital asset companies goes way beyond the legal authority granted by Congress and puts an unjust cloud over US digital asset innovation.”


This comes after Coinbase achieved a major victory in a civil lawsuit against plaintiffs claiming that the exchange offered and sold them unregistered securities.


On April 6, Cointelegraph reported that the United States Court of Appeals for the Second Circuit ruled in favor of Coinbase, confirming that secondary sales of cryptocurrencies on its platform do not violate the Securities Exchange Act.


Magazine:YouTuber declines ‘7 figure’ sponsorships after FTX scandal: Brian Jung, Hall of Flame# Coinbase# Cryptocurrencies# Law# Adoption# United States# Cryptocurrency Exchange# Court# RegulationAdd reaction

News Feed

Major Chinese Bank Launches Central Bank Digital Currency Wallet Briefly
Major Chinese Bank Launches Central Bank Digital Currency Wallet BrieflyOne of China’s biggest banks recently opened up registration for wallets using the country’s cent
Marcel Pechman14 hours agoEthereum price won’t see $2K anytime soon, market data suggestsWeak derivatives metrics, and declining TVL and DApps use, put Ethereum bears in a better position to keep ETH price below $2,000
Namibian Central Bank Announces Plan to Launch CBDC
Namibian Central Bank Announces Plan to Launch CBDC Johannes Gawaxab, the governor of the Bank of Namibia (BON), has said his organization is planning to launch a central bank digi
Marcel Pechman2 hours agoOpenAI creator launches WorldcoinOn this week’s episode of “The Market Report," Cointelegraph’s resident expert discusses the launch of the Worldcoin token by OpenAI creator Sam Altman
Tom Mitchelhill7 hours agoAustralian exchange enlists PayPal as banks ‘close ranks’ against cryptoA new partnership between Independent Reserve and PayPal offers investors extra choice and “mitigates the risks” o
Ana Paula Pereira3 hours agoWho is Mira Murati, OpenAI’s interim CEO?OpenAI’s new interim CEO is considered a "product person" who supports regulatory oversight of artificial intelligence.780 Total views3 T
Big banks rush in to test ECB’s wholesale distributed ledger tech
Derek Andersen6 hours agoBig banks rush in to test ECB’s wholesale distributed ledger techThe new participants in the European Central Bank’s DLT tests include major financial institutions.767 Total views3 Total shar
Solana’s $110 Test: Bullish Reversal Or Whale-Driven Fade?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Darknet Market Joker’s Stash Retires After Raking in $1 Billion in Cryptocurrencies
Darknet Market Joker’s Stash Retires After Raking in $1 Billion in Cryptocurrencies One of the largest darknet marketplaces for selling identity data and stole
David Attlee11 hours agoSpanish regulator signals potential X probe on crypto adsThe CNMV’s head reiterated that networks are responsible for taking measures against investment promotions by unlicensed entities.1024 To
Bitcoin Accumulation Resumes After 3 Months Of Distribution – Analyst
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Bitcoin Price Almost Hits $98,000: Key Reasons Behind The Rally
Este artículo también está disponible en español. Bitcoin has reached a new all-time high, surging to $97,852 on Binance. The cryptocurrency is up 5% in the last 24 hours