Coinbase Vs SEC Lawsuit Heats Up with Crucial Submission Deadlines Set by Judge Failla

In the ongoing legal drama between Coinbase Global Inc, a prominent cryptocurrency exchange, and the U.S. Securities and Exchange Commission (SEC), Judge Failla has issued a scheduling order that establishes crucial submission deadlines for the litigation. 

Responding to the recent development, Paul Grewal, Coinbase’s chief legal officer, has tweeted about the significance of these deadlines in determining the future of the legal issue and how it will be settled. Both parties will be relying heavily on these deadlines to provide key details about the evidence and arguments they want to present in court. 

Key dates to watch out for:

• Coinbase’s Deadline – August 4, 2023: By this date, Coinbase has to submit all its legal arguments, evidence, and supporting documents, which are due on this date. Crucial since they will provide key insights into the evidence and arguments they intend to present.
• Amicus Curiae Briefs Supporting Coinbase – Due by August 11, 2023: The 11th of August is the deadline for other interested parties to submit Amicus Curiae briefs in support of Coinbase’s motion for judgment on the pleadings. These memoranda, which do not exceed 20 pages, will strengthen Coinbase’s standing.

• SEC’s Deadline – October 3, 2023: Evidently, the SEC will present its legal brief, outlining its own arguments and evidence against Coinbase. This submission, expected on or before October 3, will reveal the regulatory authority’s stance in this high-stakes battle.

• Amicus Curiae Briefs Supporting the SEC – Due by October 10, 2023: All the interested parties supporting the SEC’s case can submit their amicus briefs, limited to 20 pages, on or before October 10. These briefs will back the SEC’s claims and strengthen the case against Coinbase.

• Coinbase’s Reply Brief – October 24, 2023: However, following the SEC’s submission, Coinbase will have the opportunity to file a reply brief. This response will directly address the SEC’s arguments and evidence and must not exceed 15 pages.

What’s at Stake in SEC Vs Coinbase Lawsuit? 

The SEC is suing Coinbase for selling securities illegally. Since 2019, Coinbase has been working as a broker without required “registration,” according to the SEC. Registered brokers must follow rules to safeguard investors and ensure fairness.

As Coinbase isn’t a registered broker, the SEC worries about investor safety. It’s like playing without rules or referees. That could increase investor risk.

Will Judge Failla will resolve this? On an anticipated note, she gave Coinbase and the SEC a “scheduling order” with deadlines. Legal documents and “amicus briefs”—arguments and evidence from non-parties—must be submitted by these timeframes.