Coinbase and the SEC’s legal battle is set to enter a pivotal phase after Judge Failla recently issued a scheduling order that established important deadlines for each party. Paul Grewal, the chief legal officer at Coinbase, underlined their significance on Twitter. One of which entailed the submission of the exchange’s legal briefs by August 4, 2023, and presenting supporting briefs within specified timeframes, influencing the case.
By August 11, other interested parties will be provided an opportunity to submit Amicus Curiae briefs in favor of Coinbase’s motion for judgment on the pleadings. The SEC will submit its legal brief, presenting its own justifications and supporting documentation against Coinbase, on or before October 3. Following the SEC’s submission, the exchange will have until October 24 to submit a response brief.
The accusations made against Coinbase by the top US regulator for providing unregistered securities have prompted heated discussions with ramifications for the cryptocurrency market and regulatory environment. These upcoming submissions will determine how this protracted, intricate dispute turns out.
Meanwhile, the commission’s legal dispute with another significant crypto player took an unexpected turn after it urged an appeal against the recent court decision in Ripple’s favor. The SEC stepped up its pressure after asserting that Judge Analisa Torres made a mistake in her historic ruling.
Coinbase CLO At SEC’s Move To Appeal
Critics have slammed the SEC’s court filings that hinted at a review of the XRP lawsuit ruling. One of them is Grewal, who said the commission’s argument contradicts the core principles of securities laws. Coinbase’s Grewal criticized the regulator’s handling of the issue, saying that they are once again failing to make a strong argument and instead are discussing policy rather than the law.
The attorney has frequently protested against the U.S. Securities and Exchange Commission’s view that certain cryptocurrency assets should not be classified as securities. Grewal’s arguments are based on the decision made by the United States Supreme Court [SCOTUS] in the Biden v. Nebraska case. In that regard, the main questions doctrine in his opinion can be applied to Coinbase’s situation.
In its recent response to the SEC’s lawsuit, the top exchange stated that the major questions doctrine should be used to reject the SEC’s revised reading of the securities laws since Congress would first need to regulate the matter to create standards for digital assets.