SEC requests that the judge deny Coinbase’s litigation dismissal application.
The regulatory body has petitioned a federal Judge to reject Coinbase’s plea for dismiss al in its lawsuit, contending that the cryptocurrency platform was aware that the digital assets it offered were classified as SEC urities according to the Howey test. The United States Securities and Exchange Commission ( SEC ) has submitted a filing to a federal Judge , opposing Coinbase’s request for the dismiss al of the regulator’s lawsuit. In a filing dated October 3rd, filed in a New York District Court, the SEC responded to Coinbase’s motion to dismiss and reiterated its belief that certain cryptocurrencies listed on the platform qualify as investment contracts under the Howey Test and are thus subject to SEC registration. “The issuer of each cryptocurrency actively encouraged investors, including those on Coinbase’s platform, to reasonably expect an increase in the value of their investments based on the widely disseminated plan to develop and sustai...