Financial officer of Coinbase: The regulatory authority did not focus on practical and durable solutions such as rulemaking or registration options

On March 14, Paul Grewal, chief legal officer of Coinbase, tweeted: “Coinbase has no online securities, but we want to go online. Last year, we even requested the United States Securities and Exchange Commission (SEC) We began to formulate rules on this issue and put forward 50 questions, but we did not receive any reply. Instead of focusing on practical and durable solutions such as rulemaking or registration options, regulators have given priority to such actions that distort the legal definition of investment contracts beyond recognition. The rule of law is very important. The Ministry of Justice admitted this when accusing our former employees and their associates of wire transfer fraud rather than securities fraud. This is reasonable. The reason is simple. The assets involved are not securities. “

Interpretation of this information:

Paul Grewal, the chief legal officer of Coinbase, recently tweeted about the company’s desire to go online and its efforts to work with the SEC to create rules around this issue. Coinbase has no online securities, but they want to expand their offerings. The SEC was presented with 50 questions, but there has been no response. Grewal suggested that instead of creating practical solutions like rulemaking or registration options, regulators have focused on actions that distort the legal definition of investment contracts beyond recognition. He argued that the rule of law is crucial in these situations, and the lack of response from the SEC has left Coinbase in a difficult position.

Grewal made it clear that the assets involved in this situation are not securities, and that the Ministry of Justice recognized this fact when accusing former employees and their associates of wire transfer fraud rather than securities fraud. The implication is that the lack of response from the SEC is putting Coinbase in a precarious legal position.

The three keywords that summarize this content are:

1. Coinbase: The message is primarily focused on the cryptocurrency exchange platform Coinbase and its efforts to expand its online offerings.

2. Securities: The issue of online securities is at the heart of this message. Grewal states that Coinbase has no online securities, but they want to expand their offerings, and the lack of response from the SEC is making it difficult to move forward.

3. Rule of law: Grewal emphasizes the importance of the rule of law in this situation. He suggests that regulators should focus on practical solutions like rulemaking or registration options rather than actions that distort the legal definition of investment contracts beyond recognition.