The United States SEC argues that “having made the weather, Coinbase cannot claim that it is now raining.”
The U.S. Securities and Exchange Commission (SEC) has opposed cryptocurrency exchange Coinbase's request for an interlocutory appeal concerning a “controlling question” in the ongoing lawsuit, alleging that Coinbase is seeking to manipulate the interpretation of the question itself.
“Coinbase’s attempts to manipulate the question for appeal to shoehorn it into a certifiable question under 28 U.S.C. § 1292(b) are self-defeating,” the SEC declared in a May 10 filing with the United States District Court for the Southern District of New York.
The SEC further reiterated that Coinbase "does not like" the Howey Test — the agency's standard for determining what is a security — and the current framework for securities regulation, choosing to set up its business in ways that might be expensive to follow existing laws.
