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Home » SEC Won’t Respond to Coinbase’s Request for Regulatory Clarity: “Must Be Denied”

SEC Won’t Respond to Coinbase’s Request for Regulatory Clarity: “Must Be Denied”

Important facts:
  • According to the SEC, there is no law requiring them to issue regulations for digital assets.

  • The SEC continues to review Coinbase’s request for regulatory clarity.

The US Securities and Exchange Commission (SEC) officially refused to respond to the demand for regulatory clarity made by Bitcoin (BTC) and cryptocurrency exchange Coinbase days ago. Rather, the regulator took the view that this application should be rejected.

in one document As the SEC published on Monday afternoon, May 15, it stated that neither the securities laws nor the Administrative Procedures Act of this country “place an obligation on the SEC to issue the new comprehensive rules relating to the digital assets it requests.” Coinbase”.

As reported by CriptoNoticias, Coinbase, one of the world’s largest cryptocurrency exchanges, has taken legal action against the SEC, prompting the judge to order the regulator Answer how federal securities laws apply to virtual assets. The filing was accepted and the SEC was directed to respond as soon as possible.

This motion received support from the United States Chamber of Commerce, which issued a statement expressing its support for Coinbase and criticizing the SEC’s actions. In fact, he even said so the regulatory measures of this body are “harmful and unlawful”as this medium reported in the last few days.

In its response, the SEC now stated that “no law or regulation requires the Commission to take action within a specific timeframe.” implied rejection of the court’s order. “There is also no precedent supporting Coinbase’s application,” the regulator noted.

The SEC also denied that it had already denied the request for regulatory clarity. He explained that it was an “unsubstantiated statement”. and that they “continue to review Coinbase’s application as usual.”

“Coinbase is also wrong that the Commission’s application of existing legal requirements pre-empts a decision on whether to regulate. “Agencies routinely enforce existing rules while considering new changes in regulatory requirements,” the SEC said.

The Washington-based regulator also noted that its “regulatory efforts” around cryptocurrencies “refute the claim of narrow-mindedness on which Coinbase’s petition is based.”

“Coinbase’s preference for expeditious or different regulatory action by the Commission does not entitle it to an extraordinary remedy by this court. “The petition should be denied,” the SEC said.

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