Coinbase files lawsuit against Oregon authorities over a sudden change in the state’s cryptocurrency policy

Coinbase has filed a lawsuit against an Oregon official. In particular, it targets Gov. Tina Kotech and Attorney General Dan Rayfield for a sudden change in the state’s cryptocurrency policy.

In a lawsuit filed late Thursday, the company accused the governor and other state officials of changing their position in digital assets without saving time for traditional hearings and agency rulemaking and public comment.

Ryan Vangrack, Coinbase’s vice president of litigation, said the agenda promoted by Oregon AG Dunleyfield could make local residents wealthy at the expense of trying to trade digital assets.

Vanglak asked important questions, including why Governor Kotek refused to provide basic information about the case.

“Oregonians deserve to know why their government keeps them in the dark and why they are pursuing cases where Oregonians (and only Oregonians) take away their encryption,” Vanglak said.

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– Paulgrewal.eth (@iampaulgrewal) July 11, 2025

Coinbase believes the Oregonians deserve the truth from their government

The lawsuit accused state attorney general Rayfield of failing to register with the U.S. Securities and Exchange Commission or the Oregon Department of Consumer and Business Services after dragging Coinbase into court in April.

There was little progress in this case. Coinbase is about to dismiss it. In its application Thursday, the company highlighted how many years of Oregon officials advised residents that digital assets like cryptocurrencies are “unregulated” as state securities.

But their feelings changed in April, with the support of lawyers in New York and DC, the state sued Coinbase and accused them of operating illegally because they were not registered.

If Oregon wins, out-of-state businesses will earn 20% to 30% of the money recovered in the lawsuit. Coinbase claims it has filed that there was no law passed by the Oregon Legislature to regulate digital assets, and Oregonians deserve an answer from the state government.

The legal battle between Oregon and Coinbase occurs at a critical time when there is bipartisan support for legislation that imposes several regulations on cryptography.

Congress is expected to vote for the Clarity Act and the Genius Act next week, both of which are expected to promote transparency and regulation in the digital asset industry and set several requirements and guidelines to better protect consumers.

Recent regulatory advances support Coinbase’s stock

Coinbase stocks performed strongly, up 50.25% over the past month and 75.49% over the last year.

Coinbase stock price. Source: Google Finance

The stock reached a new high of $389.06 on July 10, 2025. This was inspired by bullish crypto market trends, including positive regulatory developments like The Genius Act, which provides a regulatory framework that can drive growth in the Crypto industry.

The company also has secured a market for Crypto Licenses (MICA) that has expanded its European operational capabilities and market reach.

Its strategic initiative positions it as a leader in the crypto exchange market and as a commitment to regulatory compliance, but the company’s aggressive approach to addressing market challenges has been to gain trust from both investors and users.

Benchmark analyst Mark Palmer repeatedly rated his “buy” at Coinbase in June, increasing his price target from $301 to $421. The bullish stance follows Canter Fitzgerald’s similar optimism as analysts reaffirmed Coinbase’s “overweight” ratings on stocks last month, simultaneously increasing their 12-month price target from $253 to $292.

Palmer tagged the recent bipartisan passage of Genius Act in the US Senate as a catalyst for Coinbase’s growth. This is because the company has a permanent partnership with the Circle, the issuer of USDC’s Stubrecoin, if the bill is signed into law.