Judge Failla has granted Coinbase’s motion for oral arguments in their legal dispute against the U.S. SEC concerning the judgment on the pleadings.
A federal judge has granted Coinbase’s request for oral arguments in their legal battle against the U.S. SEC concerning the judgment on the pleadings. Coinbase is seeking a court ruling that transactions are not considered investment contracts, staking services do not entail the investment of money, and digital assets are not classified as securities.
Court Approves Coinbase’s Request for Oral Argument in SEC Case
In late October, Judge Katherine Polk Failla granted an order approving Coinbase’s request for an oral argument regarding the defendant’s motion for judgment on the pleadings. The court has scheduled the oral argument for January 17, 2024, concerning Coinbase’s motion. Coinbase argues that tokens do not meet the definition of an investment contract and that transactions in staking and related services are not considered investment contracts. The parties involved are required to file a joint submission by November 17.
Paul Grewal, Chief Legal Officer of Coinbase, also shared the news on ‘X,’ noting that an oral argument for judgment is now slated for January 17. He expressed appreciation for the court’s prompt attention to the matter and is looking forward to addressing the court’s questions.
Coinbase Challenges SEC’s Lawsuit Over Digital Tokens
Coinbase has sought the court’s dismissal of the lawsuit, arguing that the SEC’s claims about securities are overly broad in the context of digital tokens. Coinbase contends that the SEC’s reasoning for digital tokens doesn’t apply to digital assets.
The SEC’s efforts to establish jurisdiction over the digital asset industry are being questioned, as they lack congressional authority for such oversight. Both the cryptocurrency industry and lawmakers have criticized the SEC’s approach of regulating through enforcement actions. These actions, perceived as irrational, have had a significant impact on cryptocurrency prices.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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