Crypto and securities lawyers weighed in on a judge’s remarks after a five-hour court hearing on Coinbase’s motion to dismiss an SEC lawsuit.
The United States securities regulator apparently “failed” to effectively argue the difference between Beanie Babies and securities during a recent hearing in New York — one of a few signs that could bode well for Coinbase in its defense, according to lawyers.
The crypto exchange has been trying to have a lawsuit from the United States Securities and Exchange Commission against it dismissed by a New York court, with oral arguments recently heard over a five-hour hearing on Jan. 17.
Reflecting on the proceedings in an X (Twitter) post, Hogan & Hogan law firm partner Jeremy Hogan recounted that part of the hearing saw District Judge Katherine Polk Failla remark that the agency’s test to determine securities would lead to a class-action lawsuit against the seller of Beanie Babies.
