Coinbase and Ripple are strategically harnessing a recent court ruling involving the SEC’s case against Binance to bolster their own legal defenses against the U.S. Securities and Exchange Commission (SEC). The move underscores their push for regulatory clarity in the digital assets sector.
In court documents, both companies emphasized the importance of clear regulations for digital assets, citing a pivotal decision in the Binance case. Coinbase’s filing on Tuesday stressed the SEC’s need to establish clear rules for the industry, criticizing the agency’s inconsistent and retrospective approach.
“Similar to Binance, Coinbase advocates for the SEC’s active rulemaking in the digital asset space,” the filing stated. “Rulemaking is crucial in light of the SEC’s newly expansive yet ambiguous interpretations of securities laws, which lack consistent explanation and attempt retroactive application on the digital asset sector.”
Last week, Judge Amy Berman Jackson of the U.S. District Court for the District of Columbia denied Binance’s motion to dismiss its lawsuit with the SEC, although she dismissed some SEC allegations, including the classification of secondary sales of Binance Coin (BNB) as securities.
The crypto industry welcomed Judge Jackson’s decision to dismiss the secondary sale charges, interpreting it as a signal that decisions in cases related to cryptocurrencies should be made on a case-by-case basis.
*Note: This article does not provide investment advice.