Coinbase’s chief legal officer, Paul Grewal, recently made an announcement regarding the crypto exchange’s latest development. He revealed that Coinbase has taken a significant step by filing a concluding brief in the Third Circuit, challenging the Securities and Exchange Commission’s (SEC) denial of their rulemaking petition.
In the submitted brief, Coinbase argues against the SEC’s order, which dismisses the claims that the existing SEC regulations are impractical for digital asset firms. The exchange firmly believes that the SEC’s decision lacks logical reasoning and justification.
Grewal emphasizes that the SEC cannot exert its authority over the digital asset industry without proper congressional approval and clear guidelines. Expressing his concerns on the social media platform X, Grewal points out the SEC’s repeated statements that seem to disregard the industry’s ability to comply with the regulations. In his words, “Remarkably, the SEC says – over and over again – that it doesn’t matter if the industry can comply with the rules.”
Furthermore, Grewal accuses the SEC of intentionally stifling the growth of the digital asset industry by refusing to provide the necessary regulations that the industry has been requesting. This refusal, according to Grewal, only serves to further tighten the grip on the industry, hindering its progress.
