Crypto exchange company Coinbase has been waiting for regulatory clarity for its petition for better cryptocurrency regulation since July 2022. However, the company’s repeated calls for this have been ignored by the Securities and Exchange Commission (SEC) until its recent filing. The SEC has responded to Coinbase’s petition and has requested at least four months to make a recommendation on the matter. However, Coinbase Chief Legal Officer Paul Grewal condemned the SEC for its vague response, saying that the watchdog refused to commit to any deadline despite an explicit order from the court.
SEC Requesting More Time to Make Decision
The SEC has been attacking the cryptocurrency industry, and their response to Coinbase’s petition seems to add fuel to the fire rather than reduce the heat. Even though the Commission stated that its staff plan to make a recommendation to the Commission regarding Coinbase’s rulemaking petition within the next 120 days, Coinbase deems the response as vague.
Grewal pointed out that the SEC has a history of ignoring cryptocurrency regulation while focusing solely on enforcement actions. Furthermore, the SEC has not made any clear decision on new cryptocurrency rules, and Grewal thinks that the watchdog has fallen white to the Fallacy of Ambiguity. The attorney criticized the SEC for conflating the evidence of a decision those statements provide with an argument that the statements themselves are a decision.
Crypto Market Update
Meanwhile, the cryptocurrency market remains relatively stable, with total market capitalization up a percentage point on the day to reach $1.1 trillion. BTC prices have exceeded $26,000 during the Wednesday morning Asian trading session, and Ethereum prices remain at $1,744 at the time of writing. However, only the Binance Coin (BNB) managed to record any significant gains on the day. Its value increased by 7.6% after the court urged Binance.US and the SEC to reach an agreement to avoid an asset freeze.