Coinbase Issues Warning to SEC: Prepared to Fight Back If Sued
Major crypto exchange Coinbase continues its pushback against the US securities regulator, telling the agency that it would be a "well-resourced adversary" if sued.
Coinbase responded to a notice sent last month by the US Securities and Exchange Commission (SEC), which suggested that the agency has an enforcement action in mind.
In its response, the exchange stated that,
"If the Commission pursues this matter, it will face a well-resourced adversary that will necessarily be motivated to exhaust all avenues."
Chief Legal Officer Paul Grewal told Bloomberg that the exchange would still like to avoid the lawsuit, stating that it "didn't pick this fight."
In the response too, the exchange said that Coinbase "never wanted to litigate with the Commission" and that "the Commission should not want to litigate either."
Coinbase is standing firm in its claim that no token listed on its platform is security, and that the SEC is not making an actual attempt to engage with the industry and provide clear regulatory guidelines.
As reported just this week, Coinbase filed a lawsuit with a federal appellate court in Philadelphia, USA, and asked the court to compel the SEC to respond to the exchange's July 2022 petition that asked for clearer crypto regulation guidelines.
The lawsuit alleged that "the SEC refuses to address Coinbase’s rulemaking petition" even as the agency expressed intentions to initiate enforcement proceedings against Coinbase for listing allegedly unregistered securities.
Meanwhile, in a Thursday video, SEC Chair Gary Gensler reiterated that most digital assets are securities and that crypto companies must follow the existing and clear rules.
Furthermore, he said, crypto companies are performing multiple functions at the same
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