• The Coinbase lawsuit against the U.S. Securities and Exchange Commission (SEC) is predicted to progress more rapidly than the ongoing Ripple case.
• Coinbase’s legal team, led by Eugene Scalia, seeks a Writ of Mandamus for SEC rule-making.
• It is expected that major industry participants and government officials may back Coinbase by submitting amicus briefs.
Coinbase Lawsuit Gains Momentum
The Coinbase lawsuit against the U.S. Securities and Exchange Commission (SEC) is predicted to progress more rapidly than the ongoing Ripple case, according to an anonymous lawyer MetaLawMan’s tweet. The case will bypass the trial court stage, starting in the appellate court, and will not involve discovery, allowing for a potential swifter resolution.
Legal Team Leading the Case
Coinbase’s legal team is led by Eugene Scalia, former Secretary of Labor and son of the late Supreme Court Justice Antonin Scalia. With experience in defeating government agencies, including the SEC, the team is well-equipped to handle the lawsuit. Coinbase is seeking a Writ of Mandamus, a court order compelling the SEC to make a decision on the company’s request for rule-making.
While the lawsuit may not directly affect the SEC’s threat to sue Coinbase, it draws attention to the regulator’s contradictory positions regarding its authority to regulate digital assets, says MetaLawMan. This may influence other judges to take note of the SEC’s inconsistent stances in similar cases.
Potential Support from Industry Players & Government Officials
It is expected that major industry participants and House Financial Services Committee or individual members may back Coinbase by submitting amicus briefs. The SEC Commissioners will have to approve any response to company’s action .MetaLawMan says there is a small chance that SEC will agree to engage in rule-making if just one Commissioner withdraws their support for SEC Chair Gary Gensler’s “regulation-by-enforcement” strategy..
Analysts‘ Positive Outlook On Stock
Prominent New York-based investment bank H.C Wainwright analysts have stated that Coinbase stock has good fundamentals with excellent liquidity levels as well as current market conditions providing strong tailwinds for further growth opportunities