Coinbase cites SEC action against Kraken in push for crypto rulemaking

United States-based cryptocurrency trade Coinbase has renewed its name to compel the Securities and Trade Fee (SEC) to reply to the corporate’s petition to create guidelines on crypto, utilizing the regulator’s latest enforcement motion in opposition to Kraken to again up its claims.

In a Nov. 22 submitting within the U.S. Courtroom of Appeals for the Third Circuit, attorneys representing Coinbase filed a response to a Nov. 21 letter from the SEC saying it deliberate to offer a standing report on the crypto rulemaking petition by Dec. 15. Coinbase filed its petition in July 2022, requesting the SEC “suggest and undertake guidelines to control the regulation of securities which are provided and traded through digitally native strategies,” with subsequent responses suggesting delays.

“[O]nly an order by this Courtroom will make the Fee act,” mentioned the letter. “Though the company’s worry of a courtroom ruling spurred it to do one thing, its proffer of one other ‘report’ — because it continues to hedge and delay — confirms that solely mandamus will impel the Fee to completely, lastly acknowledge that Coinbase’s petition for rulemaking was pocket-vetoed way back.”

We simply filed a brief response to yesterday’s SEC’s “replace” on our petition for rulemaking. We’re grateful for the Third Circuit’s consideration to this matter. pic.twitter.com/TOFfn0wWYu

— paulgrewal.eth (@iampaulgrewal) November 22, 2023

Associated: Binance fees show ‘following the foundations’ was the precise resolution — Coinbase CEO

Coinbase cited the SEC’s enforcement motion in opposition to Kraken filed on Nov. 20, through which the fee alleged the crypto trade commingled buyer funds and did not register as a securities trade, dealer, seller and clearing company. The letter didn’t reference a Nov. 21 settlement of civil and prison circumstances in opposition to main crypto trade Binance, which didn’t embrace its ongoing case with the SEC.

“The Kraken motion was essentially accredited by the Fee and […] is additional proof that the Fee sees no want for regulatory Readability.”

The push for rulemaking got here as reviews counsel the SEC could also be nearing a call on a spot Bitcoin (BTC) exchange-traded fund for itemizing on U.S. markets. An approval would seemingly be some of the important constructive developments towards the mainstream adoption of crypto.

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