Coinbase Chief Legal Officer Paul Grewal took to his Twitter account to share recent updates on the legal battle with the SEC. In a recent turn of events, Grewal revealed major updates from the ongoing court case against the Securities and Exchange Commission.
According to his tweet, the Third Circuit had resolved that it will retain jurisdiction over the crypto exchange’s challenge to the SEC’s inaction as regards its petition for basic rules for the crypto industry.
The Third Circuit just ruled that it will retain jurisdiction over our challenge to the SEC's inaction on our petition for basic rules for crypto. A further report is due in 120 days. We are grateful that the Court will continue to shine a bright light on an SEC process that… pic.twitter.com/wQu52UuCoU
— paulgrewal.eth (@iampaulgrewal) June 20, 2023
The update by Paul Grewal concerning the legal battle was well received by the community with lots of supporting comments. One of the notable reactions was from Ripple’s CTO, David Schwartz, who expressed his thought on the matter.
In Schwartz’s reply, he described the situation as a “rollercoaster.” He pointed out that the court urged the SEC to give a timeline for when it was going to decide on the Coinbase request, but it then gave the Commission four months just to give an update on its progress toward getting a staff recommendation.
This is kind of a rollercoaster. The court insisted the SEC tell it when the commission was going to rule on Coinbase's requset, yay. But then let the SEC get away with taking four months just to update the court on just their progress towards getting a staff recommendation.
— David "JoelKatz" Schwartz (@JoelKatz) June 20, 2023
Related Reading: SEC Wants 120 Days to Respond to Coinbase Rulemaking Petition
However, Schwartz acknowledged that everyone wasn’t expecting Coinbase to get anything out of this, saying that he initially considered the legal maneuver a publicity stunt. He described it as a “victory” for Coinbase.
“To be fair, I think everyone was expecting Coinbase to get nothing at all out of this. Frankly, I considered it a publicity stunt at first. So in that light, this is a victory,” he said.
Furthermore, looking on the positive side, Schwartz continued that the fact that Coinbase had any success in getting relief shows that more Federal judges share some of the frustrations they have with the Securities and Exchange Commission.
Another Twitter user suggested that the court should be asked to “cut down” from four months to just one month as it is “basic information” that can be delivered within 24 hours.
In conclusion, as Ripple’s CTO and the general crypto community show their support for this little victor, the crypto world is anxiously awaiting the next report, which is expected in 120 days.