Ripple, Binance and Coinbase score partial wins against US SEC, mark milestone in crypto history
- Binance and Coinbase concluded key hearings in the SEC’s lawsuit against the two exchanges as of Tuesday.
- Ripple successfully got the Hinman documents unlocked and available for public view after an arduous legal battle.
- Several altcoins started their recovery in response to the developments in the SEC’s lawsuits against Binance and Coinbase.
June 13 marked a key milestone in the crypto ecosystem’s history. After engaging in la ong legal battle with the Securities and Exchange Commission (SEC), Ripple successfully got Hinman's emails publicly released. XRP price hit a peak of $0.5649 on Tuesday before pulling back to $0.5015 on Binance.
Meanwhile, the judge presiding over Binance's hearing urged the SEC and Binance to reach common ground and negotiate, setting a deadline of June 15 for the next update. BNB price recouped its losses as sentiment among holders turned bullish.
Coinbase received the SEC’s response on rule-making in crypto. The regulator highlighted that there are no new decisions on crypto rules and did not commit to another deadline in the case. COIN climbed 4.42% as of June 14, recovering from its losses from the past week.
Also read: XRP price settles above $0.50, wiping out gains from Hinman documents release
SEC vs. Ripple update
The release of the Hinman documents landed two wins in the crypto ecosystem. One, Ripple’s legal team argued that the SEC had no clear understanding of what constitutes a security and used “made-up tests” to infer that Ethereum is a non-security, strengthening its defense that the regulator has provided no clarity or guidance before claiming that XRP is a security.
For updates on the documents, their relevance and impact on XRP, check this post.
The second win is defense for crypto exchanges that are suffering allegations of the sale of unregistered securities. The SEC has no new rules on classification or identification of securities and non-securities, therefore showing the underlying weakness in their allegations against the two leading crypto exchanges.
Binance and Coinbase score partial wins against the SEC
Binance and Coinbase are two of the largest cryptocurrency exchanges in the crypto ecosystem. Both platforms were slammed by lawsuits by the US financial regulator, accusing them of the sale of unregistered securities and several other counts of violations of securities laws.
Binance’s hearing on Tuesday saw presiding Judge, Amy Berman Jackson, suggesting that the exchange and the regulator negotiate an agreement and file an update by Thursday, June 15. According to a New York Times report, the judge called out the SEC for being “inefficient and cumbersome” in its lawsuit against Binance, tipping the scales in the exchange’s favor. For more information on the hearing, check this update.
Coinbase’s Chief Legal Officer, Paul Grewal, tweeted an update on the exchange’s partial win against the regulator. Grewal pointed out that the SEC accepted that no decision was made on new crypto rules.
1) they repeat the fallacy that they haven't made any decision on new crypto rules; 2) they refuse to commit to any deadline despite the Court's explicit order; 3) they instead "anticipate" making a "recommendation" in 120 days; and most importantly... 2/5
— paulgrewal.eth (@iampaulgrewal) June 13, 2023
The regulator failed to commit to a deadline despite explicit orders from the court. The SEC’s response to last week’s Third Circuit was therefore inadequate to provide clarity on crypto asset regulation.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
