SEC rejects Coinbase’s bid to shape crypto regulation
The U.S. Securities and Exchange Commission (SEC) rejected Coinbase’s petition to develop rules for the cryptocurrency industry.
According to the view of the agency’s chair Gary Gensler, existing laws apply to the sector. There is nothing in it that would indicate a need to create new regulatory acts, he added.
“Thus, to the extent that crypto assets are offered and sold in the form of an investment contract, and to the extent that intermediated operations with crypto asset securities are conducted, federal securities laws apply,” the statement said.
Gensler again pointed to fraud and abuse in the industry and stressed that the SEC welcomes cooperation with those who wish to comply with the law.
“The existing securities regime properly regulates the securities of crypto assets. I agree with the Commission’s decision to deny the petition,” concluded Gensler.
Coinbase filed a civil suit with the appellate court to obtain a response from the SEC to the petition filed in July 2022. It sought clarity in regulating the crypto industry.
Earlier, the American company received notice from the Commission regarding an investigation into the listing procedure on the platform and its products — Coinbase Prime, Coinbase Wallet andstaking service Coinbase Earn.
In June the agency filed a civil suit against the company. The Commission charged Coinbase with offering securities without registration in the form of a number of tokens on the trading platform.
Chief legal officer Paul Grewal called the SEC’s approach to regulating the cryptocurrency industry “undermining the competitiveness of the United States,” and Coinbase itself refused to change its business model because of the authorities’ claims.
In support of the platform, the U.S. Chamber of Commerce backed the platform, accusing the Commission of “deliberately creating a dangerous and uncertain environment” for crypto companies in the country.
In November, Coinbase chief Brian Armstrong complained about the lack of feedback from the SEC.
Рассылки ForkLog: держите руку на пульсе биткоин-индустрии!