Coinbase Criticizes SEC’s New ‘Exchange’ Definition in a Comment Brief
Hassan, a Cryptonews.com journalist with 6+ years of experience in Web3 journalism, brings deep knowledge across Crypto, Web3 Gaming, NFTs, and Play-to-Earn sectors. His work has appeared in...
Coinbase has officially opposed the recent proposal of the U.S. Securities and Exchange Commission (SEC) to broaden the definition of exchanges.
In a statement on X, Coinbase’s Chief Legal Officer, Paul Grewal, criticized the SEC for including Decentralized Exchanges (DEXs) in the new definition without adequate analysis.
Today @coinbase submitted another set of concerns with @SECgov over the agency’s proposal to expand the definition of “exchange.” In short, the SEC’s proposal lacks critical analysis, rests on irrational assumptions, fails to show that there is any problem in need of regulation,…
Coinbase Exchange has once again contended with a recent move from the US SEC over a blanket labeling of trading platforms to include DEXs.
According to Paul, Coinbase submitted a new set of concerns to the SEC regarding the agency’s proposal to broaden the definition of “exchange.” Coinbase argues that the proposal is flawed, lacks essential analysis, and is based on irrational assumptions.
Coinbase’s Chief Legal Officer further stated that the exchange believes that the SEC needs to demonstrate a genuine need for the proposed regulation and has exaggerated the purported benefits.
Coinbase contends that the SEC did not collect basic information or conduct an economic analysis on how the proposal would impact decentralized exchanges (DEXs), yet proceeded with the proposal based on unsubstantiated assumptions.
The exchange warns that extending the rule to DEXs could have severe consequences for millions of Americans engaged with digital assets
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