U.S. Court Orders SEC to Respond to Coinbase Allegations Within 10 Days

The U.S. Securities and Exchange Commission (SEC) has been ordered by a U.S. court to respond to cryptocurrency exchange Coinbase’s (COIN) complaint over how it applies securities laws to digital assets.

The Third Circuit Court of Appeals said in a Wednesday filing that the SEC must file its response within 10 days. Coinbase may then file a response seven days thereafter.

Coinbase last week argued that the SEC is providing insufficient regulatory guidance for U.S. companies operating in the crypto sector, saying that the commission must “at a minimum must set forth how those inapt and inapposite requirements are to be adapted to digital assets.”

The crypto exchange referred back to a 2022 petition asking for formal rulemaking within the digital assets sector, to which the SEC is yet to respond. The 10-day deadline ordered this week refers to the SEC’s requirement to provide a legal basis for why it has not responded to the petition.

Coinbase has been attempting to launch a pre-emptive strike against the SEC, which said in March it expected to sue the exchange over allegations of offering unregistered securities products.

Read More: Coinbase Could Move Away From U.S. if No Regulatory Clarity: CEO Brian Armstrong

Source: https://finance.yahoo.com/news/u-court-orders-sec-respond-124701747.html