On Friday, February 14, the Securities and United States Commission turned to the 28-day extension of the deadline to a response to Coinbase. This latest movement is an fascinating development of the prolonged legal battle between the regulatory agency and the largest cryptographic exchange in the USA.
Why SEC asked to extend the deadline
In his latest filingSEC asked the court to extend the deadline to respond to the appeal of Crypto Exchange Coinbase from February 14 to March 14. Both sides were in Logerheads, whether digital assets should be classified as securities.
On January 17, 2025, Coinbase submitted a petition for permission to appeal against the opinion and court’s decision in March 2024. However, the SEC was equalized-and was awarded-at a 14-day extension of time to a response to a petitions petition.
SEC claims that the reason for his latest application for extension is the creation of a recent task group for cryptocurrencies by the compulsory chairman of the agency, Mark Uyeda. The chairman of SEC, UYEDA, has established a task group to aid develop the appropriate regulatory framework of digital assets.
Source: Courtlistener
According to the commission, the work of a task group led by Hester Peirce may affect its reaction to Coinbase dismissal and potentially solve the basic classification problem.
The judicial document is:
The work of the cryptocurrency task group may affect and can facilitate the potential solution to both basic court proceedings and a potential review of appeal, saving court resources. Because during the review of cryptocurrency problems in the commission, the Commission is asking for this additional time to prepare a response to the Coinbase petition and an appropriate assessment.
SEC noticed that none of the parties would be warned by approving the extension of the deadline. The regulatory agency also emphasized in its submission that Coinbase agrees to the request for extension, because the appeal of the stock exchange is not accelerated.
Change in the regulatory landscape of cryptocurrencies?
Interestingly, this Coinbase test is the second case in the same week in which SEC asked for an extension. On Monday, February 11, the American financial regulator and the world’s largest Binance exchange jointly submitted a 60-day stay in their legal battle.
Sec cited a similar reason – as in the Coinbase lawsuit – for a request to stop the Binance case for the next 60 days. According to the court document, the parties intend to submit a joint report on the end of the 60-day stay, deciding whether it is necessary to extend your stay.
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