ARTICLE
16 April 2024

Coinbase's Defense Falters: Latest Developments In SEC Legal Battle

DM
Duane Morris LLP

Contributor

Duane Morris LLP, a law firm with more than 800 attorneys in offices across the United States and internationally, is asked by a broad array of clients to provide innovative solutions to today's legal and business challenges.
A New York federal court has held that the SEC sufficiently pleaded that Coinbase—a well-known cryptocurrency exchange, broker, and clearing agency ...
United States Technology
To print this article, all you need is to be registered or login on Mondaq.com.

A New York federal court has held that the SEC sufficiently pleaded that Coinbase—a well-known cryptocurrency exchange, broker, and clearing agency—operated as an unregistered intermediary of securities and engaged in the unregistered offer and sale of securities through its crypto staking program. In a partial win for Coinbase (and possibly others offering wallet services), the court dismissed the SEC's claim that Coinbase acted as an unregistered broker by offering a crypto wallet application to its customers. The case is Sec. and Exch. Comm'n v. Coinbase, Inc., 23 Civ. 4738 (S.D.N.Y. Mar. 27, 2024).

This decision has important ramifications for all players in the crypto market, as it clears the way for the SEC to continue to act as the primary regulator of crypto in the absence of further regulatory direction from Congress and allows the SEC to continue aggressive enforcement in the crypto space.

To read the full text of this post by Duane Morris' Mauro Wolfe , Vincent Nolan and Alek Smolij, please visit the Duane Morris Fintech Blog.

Disclaimer: This Alert has been prepared and published for informational purposes only and is not offered, nor should be construed, as legal advice. For more information, please see the firm's full disclaimer.

ARTICLE
16 April 2024

Coinbase's Defense Falters: Latest Developments In SEC Legal Battle

United States Technology

Contributor

Duane Morris LLP, a law firm with more than 800 attorneys in offices across the United States and internationally, is asked by a broad array of clients to provide innovative solutions to today's legal and business challenges.
See More Popular Content From

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More