The post Coinbase vs SEC: Legal Case Paused as Crypto Task Force Reshapes Regulation appeared first on Coinpedia Fintech News
Would the newly formed Crypto Task Force prompt the US Securities and Exchange Commission to make a radical shift in its approach towards cryptocurrency regulation? Recent developments in the SEC’s legal battles against prominent exchanges like Coinbase and Binance indicate that the regulator is slowing down legal action against crypto firms and waiting for its task force to guide future decisions.
SEC Requests a 28-Day Extension in the Coinbase Case
Last month, providing a brief relief to Coinbase in its legal battle against the SEC, Judge Failla halted the legal proceedings against the exchange. The court even allowed Coinbase to file an interlocutory appeal to seek clarity on whether existing securities laws apply to digital assets traded on the exchange.
An interlocutory appeal occurs when a ruling by a trial court is appealed while other aspects of the case are still proceeding. The SEC was supposed to respond to the exchange’s request to file the appeal on or before February 14, 2025.
Experts like Eleanor Terrett predicted that the regulatory agency might ask for an extension of the deadline.
As forecasted by experts, the SEC has requested a 28-day extension to respond to Coinbase’s appeal to leave to file an interlocutory appeal.
Unsurprisingly, Coinbase has accepted the extension request filed by the US SEC.
NEW: The filing is in and the @SECGov has requested a 28-day extension (until March 14, 2025) to file its answer to a petition from @coinbase to leave to file an interlocutory appeal.
Again, the @SECGov cites the agency’s new #crypto task force as having a potential impact on… https://t.co/XdwFBhgMPm pic.twitter.com/A6f6xB3qQJ
— Eleanor Terrett (@EleanorTerrett) February 15, 2025
SEC and Binance Agree to Pause Legal Case
On February 10, 2025, Binance and the US SEC jointly filed an appeal to stay the regulator agency’s legal proceedings against the exchange for 60 days.
The petition pointed out the possibility of the new SEC Crypto Task Force to give a new direction to the regulatory’s crypto regulation approach.
At that time itself, experts like Eleanor forecasted that other crypto firms like Ripple, Coinbase and Kraken would come forward with appeals seeking extensions.
SEC Leadership Shift: What You Should Know
Hours before Trump’s inauguration, Gary Gensler stepped down from its post as the SEC chairman. The untimely exit of Gensler paved the way for the entry of pro-crypto attorney Mark Uyeda as the acting SEC chair.
The SEC established a Crypto Task Force to provide clarity on the application of the federal securities laws to the crypto asset market.
The task force currently operates under the leadership of SEC Commissioner Hester Peirce.
The Crypto Task Force is expected to give a new direction to the SEC’s approach towards cryptocurrency regulation.
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