- The US SEC responded to Coinbase’s petition for a writ of mandamus final month.
- The SEC has indicated that it’ll proceed to pursue enforcement actions somewhat than rulemaking.
- The regulator additionally requested the cryptocurrency business to not contemplate Chair Gensler’s public statements as coverage statements.
The US Securities and Trade Fee (SEC) responded to Coinbase’s petition for a writ of mandamus final month. Coinbase’s chief authorized officer stated the regulator’s response was not optimistic about repeated requires rules and clear guidelines for the cryptocurrency business.
Final July, Coinbase requested the SEC to suggest and undertake guidelines governing the regulation of crypto-assets and potential securities. After practically 10 months of receiving no response from the securities regulator, Coinbase continued to pursue the pending software and filed a mandamus petition that compelled the SEC to provide a sure or no reply to the alternate’s request.
Paul Grewal, Coinbase’s Chief Authorized Officer, shared the SEC’s response Twitter Earlier immediately. On the regulator’s sure or no reply to the pending rulemaking software, Grewal revealed that the reply was “most likely resounding”. However he famous that the SEC clarified its place in courtroom for the primary time.
In accordance with Grewal’s abstract of the SEC’s response, crafting complete rules for the cryptocurrency business is a protracted course of, and the securities regulator is in no rush to complete the job. The SEC additionally stated it could proceed to take enforcement motion to alter the foundations. However the regulator stated the data gathered from such actions would assist in the rulemaking course of.
The SEC additionally suggested cryptocurrency business stakeholders to not contemplate Chairman Gary Gensler’s public statements as official steering or coverage statements from the Fee. In accordance with Grewal, “The SEC’s response reinforces Coinbase’s longstanding concern that our business lacks readability over what the SEC could contemplate to be in or outdoors of its jurisdiction at any given time.”
Crypto lawyer Jeremy Hogan takes a special perspective on the most recent developments. In accordance with Hogan, the mandamus petition was by no means meant to elicit a remaining response from the SEC. As an alternative, it is going to be proof of the regulator’s controversial stance on cryptocurrency regulation.
