Paradigm Backs Coinbase in Legal Battle Against SEC, Submits Amicus Curiae Brief

Cryptowire: Coinbase’s Legal Battle with SEC

Paradigm, a crypto investment firm, has joined the crypto community in supporting Coinbase’s push for regulatory clarity in its ongoing case against the SEC.

Paradigm Supports Coinbase Against the SEC

Paradigm filed an amicus curiae brief in support of Coinbase’s case against the SEC, criticizing the regulatory approach of the federal agency.

• Paradigm highlights the SEC’s ad-hoc regulation-by-enforcement strategy.
• The firm argues that the SEC’s lack of rulemaking creates instability in the regulatory environment.

The SEC’s Regulatory Scrutiny

The legal saga between Coinbase and the SEC began in July 2022 when Coinbase sought regulatory guidance on digital assets.

• After the SEC denied Coinbase’s request, the exchange challenged the regulator in court.
• Paradigm’s ongoing support for Coinbase’s case against the SEC showcases industry solidarity.

Crypto Community Backs Coinbase

Paradigm’s recent amicus curiae brief aligns with the Crypto Council for Innovation’s support for Coinbase.

• Concerns are raised that the SEC’s strict regulations may drive crypto businesses overseas.
• Coinbase’s potential relocation abroad reflects industry responses to regulatory uncertainties.

Coinbase’s Stand for Regulatory Clarity

Coinbase seeks clarity from the SEC to comply with securities laws and foster industry growth.

• The company emphasizes the need for regulatory guidance in the evolving digital assets landscape.

An SEC spokesperson has not provided immediate comments on the ongoing developments.