Bitrabo Editorial
The SEC has responded to Coinbase’s call for regulatory changes in the cryptocurrency industry by stating that current US securities laws are sufficient and there is no need for a new regulatory framework. The US regulator filed a countermotion on May 10, arguing against Coinbase’s petition.
SEC Disputes Coinbase’s Rulemaking Request
Coinbase had requested the SEC in July 2021 to establish new regulations specifically for cryptocurrencies, but the SEC denied the request, citing the adequacy of existing securities laws. In response, Coinbase took the matter to the US Third Court of Appeals seeking to compel the Commission to conduct the desired rulemaking. However, the SEC has emphasized that there is currently no need for additional regulations in the crypto space.
In its argument, the SEC highlighted its longstanding application of existing security regulations and emphasized that creating new rules would be unnecessary. The Commission pointed out that recent enforcement actions against crypto-related entities validate the effectiveness of the current securities laws.
The Commission’s enforcement actions in the crypto asset security realm demonstrate its ability to assert claims under existing laws. This contradicts Coinbase’s claim that these actions represent an unauthorized power grab or agency self-aggrandizement.
Additionally, the SEC refuted Coinbase’s assertion of not receiving a detailed explanation for the denial of its rulemaking petition, stating that the exchange was provided with a brief statement on the matter.
Cryptocurrency Market Update
The overall cryptocurrency market saw a minor increase of 0.19% in the past 24 hours, reaching a total value of $2.25 trillion. Major assets experienced slight gains, with Solana (SOL) and Binance Coin (BNB) leading with approximately 1% gains. Meanwhile, Bitcoin, the dominant player, is currently priced at $60,980.5 after a recent 3.71% drop in value.