In a turn of events, the US Securities and Exchange Commission (SEC) requested an extension of the court’s time to complete the fact-finding requirements in the case against Coinbase. The extension aims to delay the deadline by four months, setting a new date after the US election.
SEC Requests Fact-Finding Deadline Extension
On Wednesday, the Securities and Exchange Commission requested an extension of time to complete the fact-finding process in its case against Coinbase Inc. and Coinbase Global Inc. In a letter to Judge Katherine Polk Failla, the US administrator also sought an extension to amend earlier. entered the Public Case Management Program and planning program.
The document said that the defendants agreed to the extension, adding that no party requested an extension of time to complete the discovery of the truth in the SEC v. Coinbase.
US SEC requests deadline extension. Source: Court Listener
The SEC said it has made significant efforts in the discovery process, producing hundreds of thousands of documents to complete the requirements. However, it denied that the court also ordered the US regulator to review other documents “in a decision on the Defendant’s motion to compel.”
This order resulted in the need to review several new documents after its agreement with Coinbase in terms of “search and review of potentially responsive materials.” As a result, the SEC considers that the four-month deadline extension will provide the necessary time to comply with the said order.
Following that agreement, the SEC conducted a review of at least 133,582 unique documents. The requested extension will give the SEC the time it needs to comply with the Court’s Order. Look again ECF No. 161 (recognizing potential need for expanded fact finding).
The extension would move the deadline from October 18, 2024, to February 18, 2025, which would also affect the next deadline in the case. As a result, the letter also seeks to move the affected deadline by four consecutive months.
Coinbase Continues to Fight US Regulators
In addition, Coinbase’s CLO Paul Grewal recently updated the public about his Freedom Of Information Act (FOIA) ruling against the Federal Deposit Insurance Corporation (FDIC). In the X post, Grewal said there has been progress in getting “suspension letters” sent to financial institutions that “propose” to divest crypto firms.
Coinbase’s CLO also explained that the court had given an order to stop the “Vaughn Index,” which is “a type of log of FOIA rights.” For Grewal, this represents a big step for the crypto community: “Inch by inch, we will get to the reality of Chokepoint 2.0,” he said.
Coinbase CLO gives update on FOIA suit agaisnt the FDIC. Source: Paul Grewal on X
Attorney James Murphy, known as MetaLawMan, suggested that putting more pressure on regulators is good news as it will make it harder for “the administration to maintain the status quo that there is no such thing as #OperationChokepoint2.0.”
Many members of the public agreed with this view, expressing their frustration with American regulators. Murphy also criticized the US Congress for “not doing its job,” ultimately asking why “a public company should be doing the oversight job of Congress.”
COIN is trading at $171.82 in the weekly chart. Source: COIN on TradingView
Featured image from Unsplash.com, Chart from TradingView.com