Posted 1/16/2024, 8:25:00 PM
Coinbase Fights SEC in Court Over Crypto Assets as Securities
- Coinbase seeks to dismiss SEC lawsuit claiming it illegally traded securities; judge will hear lengthy arguments from both sides
- Judge's decision could give momentum to either crypto industry or SEC in clashes over securities law application
- Key issue is whether crypto tokens are "investment contracts" under SEC's Howey Test for identifying securities
- Ruling won't end debate but will influence legal precedent on treating crypto assets as securities or commodities
- Coinbase argues SEC overreached; agency recently lost a case claiming Grayscale Bitcoin Trust was an unregistered security